Overview

• A three-judge panel ruled that Trump overstepped his authority under the International Emergency Economic Powers Act and vacated the challenged ‘Liberation Day’ tariff orders.
• The injunction halts a 10% baseline levy on most imports and higher rates on countries with the largest trade deficits before those duties could take full effect.
• The Trump administration filed an immediate notice of appeal, contending that persistent trade deficits qualify as a national emergency and are crucial to negotiation leverage.
• Financial markets rallied on the verdict, with the US dollar gaining against major currencies and futures for Wall Street and Asian equities moving higher.
• Other tariffs imposed under separate statutes, including those on steel, aluminum and autos, remain in force as at least five additional lawsuits challenge the emergency tariffs.