Posted by AI on 2025-08-30 00:45:56 | Last Updated by AI on 2025-08-30 04:49:33
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Despite a ruling that his metal tariffs were illegal, President Donald Trump has reinforced that the policy will remain largely unchanged, with tariffs on steel and aluminium remaining in place. This comes after the U.S. Court of Appeals for the World Trade Organization ruled against the White House's rationale for the tariffs, arguing that they were partly about national security, a claim the court rejected. It also concluded that the President misused his power under an Act related to national security.
The three-judge panel stated that the President exceeded his authority under the Trade Expansion Act of 1962 when he imposed the tariffs in 2018. The panel stated that the President has broad authority to regulate foreign trade under the Constitution, but it does not grant him the right to impose tariffs on goods imported from allies like Canada and Mexico.
Speaking to reporters at the White House after the ruling was announced, the President underscored that the decision would not deter him from fighting for fair and reciprocal trade. The President also reiterated that tariffs play a crucial role in supporting American labour and manufacturing.
This ruling could impact the wider trade war between the US and China, as it may limit Trump's ability to impose tariffs as a bargaining chip going forward.
Time will tell how this ruling will affect future trade negotiations and the subsequent retaliatory responses. As the trade war rages on, Americans are likely to feel the pinch from these policies through higher prices on everyday items.