Trump’s Liberation Day Tariffs Blocked by US Court

May 29, 2025

A federal court in New York has blocked former President Donald Trump from enforcing the sweeping tariffs that he imposed under an emergency-powers statute.

In a ruling by a three-judge panel of the Court of International Trade, the court found that Trump had exceeded his constitutional authority by circumventing Congress, which holds sole power over international trade.

The case focused on the “Liberation Day” tariffs, introduced on April 2, which ranged from 10% to 54% depending on the country. Currently, most nations are subject only to the base 10% rate due to a temporary 90-day suspension.

The court also invalidated a separate set of tariffs targeting China, Mexico, and Canada that were enacted following Trump’s return to office.

However, the decision did not affect product-specific tariffs on items like cars, steel, and aluminum, which were issued under a different legal statute.

The administration has 10 days to begin rolling back the tariffs, though it has already filed an appeal. Many expect the case to move to higher courts, where Trump may receive a more favorable judgment.

For now, the tariffs remain in effect and continue to be collected. If the ruling is upheld, businesses may qualify for refunds—with interest—on previously paid duties, including the 10% general rate and the revised 145% tariff on Chinese goods, now at 30%.

Killick Martin will continue to monitor the situation closely in the coming days and weeks.

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