The U.S. Court of International Trade ruled Thursday that President Donald Trump’s 10% [1] global tariffs are unlawful and not justified by law.
The decision challenges a cornerstone of the administration's trade policy by stripping the legal basis for broad import duties. This ruling could disrupt global supply chains and alter the economic relationship between the U.S. and its trading partners.
The court in New York City determined that the across-the-board tariffs were not justified under a trade law from the 1970s that governs the imposition of temporary import duties [1], [2]. The tariffs had been implemented in February 2026 [3] as part of a wider strategy to reshape international commerce.
While the court found the tariffs illegal, reports on the immediate scope of the order vary. Some accounts indicate the court struck the tariffs down outright [1], while other reports suggest the court issued a narrow block on the enforcement of the duties [4].
The ruling on May 7, 2026 [1] effectively invalidates the legal framework the administration used to justify the 10% [1] rate. The court's focus remained on the specific 1970s legislation, concluding that the administration's actions exceeded the authority granted by that statute [2], [5].
“The court found the across-the-board 10% tariffs unlawful.”
This ruling creates a significant legal hurdle for the administration's ability to unilaterally impose broad tariffs without specific congressional or statutory authorization. By tying the legality of the duties to a 1970s trade law, the court has signaled that historical statutes cannot be broadly interpreted to support modern, across-the-board import taxes, potentially forcing the administration to seek new legislative approval or narrow its tariff targets.
