President Trump‘s week has gone from bad to worse. A federal trade court has blocked a significant chunk of Trump’s proposed tariffs.
The news came on the same day Trump found out that Wall Street doesn’t even take him seriously anymore because of his handling of the tariffs. Trump has long championed himself as the business community’s president, so finding out that they call him the “TACO President” stung. He even went on stage to explain how the tariffs are actually not to be taken seriously but are rather just a negotiating tactic. Well, a federal court just told him he can’t use that either.
NPR reports that the court intervened in the tariffs for different stated reasons. The court ruled that the worldwide tariffs were in violation of the International Economic Emergency Powers Act (IEEPA). It stated that the president’s authority under that specific law is clearly defined and, in its opinion, the president went beyond that stated authority. According to the court, the authority to impose worldwide tariffs lies with Congress.
Reportedly, IEEPA has actually never even been used to impose tariffs before, and this was an instance where the Trump administration was testing the limits of the act. The court also struck down the tariffs imposed on Canada and Mexico. Trump had previously stated that the tariffs were meant to pressure the two neighbors to curb the inflow of fentanyl into the United States. This tactic has so far only caused animosity.
The court ruled that that particular justification doesn’t hold up under IEEPA requirements. It was vocal in its interpretation of the law, stating that any tariff needs to directly address the stated emergency. So technically, you can’t just use overall tariffs to deal with the fentanyl crisis specifically.
The case was brought to the court by a coalition of 12 states and 5 businesses. The White House is already attacking the ruling, arguing that the judges are unelected and therefore have no authority to address a national emergency.
As for New York Attorney General Letitia James, the ruling sparked a brief moment of celebration. James called the decision “a major win for working families,” citing the jobs at ports and the people who depend on them that were directly affected by the unexpected disruption to how business is usually run. And that’s not even to mention all the other related industries and jobs.
A court just ruled in our favor and permanently stopped the Trump administration’s illegal tariffs.
— NY AG James (@NewYorkStateAG) May 28, 2025
This is a major victory for working families, businesses, and the rule of law.
The president cannot ignore the Constitution and impose massive tax hikes on the American people. https://t.co/ApYuCrVzoB
Trump has not yet launched an official response to the new court order. His administration is currently facing insurmountable pressure and criticism from nearly every facet of society. Even Elon Musk recently came forward and admitted he doesn’t understand how some of the administration’s policies are supposed to aid the country’s financial health. And that’s in addition to the fact that Moody’s has lowered the credit rating of the United States for the first time in history.
All these errors seem entirely unforced. At any time, President Trump could simply choose to finally exhibit leadership qualities and put an end to all his troubles.
