The U.S. Court of International Trade struck down a second round of 10% [1] global tariffs ordered by President Donald Trump on May 7, 2026 [4].
The ruling removes a significant economic barrier for importers and state governments who argued the tariffs exceeded presidential authority. This decision follows a previous Supreme Court ruling that invalidated earlier tariffs under the International Emergency Economic Powers Act (IEEPA) [5].
The legal challenge was led by the state of Oregon and included a coalition of 24 states [3]. The court in New York said that the Section 122 tariffs were unlawful based on the established legal precedent regarding executive power and trade restrictions [1, 5].
These tariffs represented a second effort by the administration to implement broad global levies [2]. By striking down the measure, the court has effectively halted the collection of these specific duties and provided a pathway for affected businesses to seek relief from the 10% [1] cost increase.
The decision aligns with the earlier Supreme Court finding that the administration cannot use emergency powers to bypass congressional authority on trade tariffs [5]. This ruling serves as a check on the executive branch's ability to unilaterally impose wide-scale economic penalties on international trade partners.
“The U.S. Court of International Trade struck down a second round of 10% global tariffs”
This ruling reinforces the legal boundary between executive emergency powers and legislative authority over trade. By citing the Supreme Court's previous invalidation of IEEPA-based tariffs, the court has limited the administration's ability to use broad national security or emergency justifications to implement global tariffs without explicit congressional approval.
