AI-assisted content · Illustrative image
AI-assisted content · Illustrative image
Court Invalidates Trump Tariffs
Trade Court Invalidates Trump's Global Tariffs, But They Remain in Effect
A U.S. trade court invalidated global tariffs imposed under Section 122 of the Trade Act of 1974, but the government appealed and the tariffs remain in effect. The case, brought by spice company Burlap & Barrel, argues that President Donald Trump exceeded his legal authority by using that statute.
The Federal Reserve Bank of New York warned that businesses are still adjusting consumer prices due to tariffs, which could prolong inflation. The administration is refunding tens of billions of dollars in tariffs after a Supreme Court ruling, but uncertainty persists over new tariff threats.
In April 2026, Trump used Section 232 to impose 100% tariffs on pharmaceutical products and strengthen tariffs on steel and aluminum.