A federal court in New York has ruled that former President Donald Trump’s “Liberation Day” tariffs violated the Constitution, suggesting he overstepped his executive authority.

The Court of International Trade found that Trump bypassed Congress – whose powers include regulating international trade – by unilaterally imposing the tariffs.

Announced on April 2, the tariffs ranged from 10% to 54% depending on the country. Although most were temporarily set at 10% for 90 days, the court concluded that the emergency powers used to justify them were misapplied.

In a broader decision, the court also struck down additional tariffs imposed on China, Mexico, and Canada since Trump’s return to office. However, tariffs on specific goods such as cars, steel, and aluminum – enacted under a different statute – remain unaffected.

The ruling introduces new uncertainty to U.S. trade policy and may impact recently negotiated deals, including the U.S.-UK trade agreement and others still under discussion.

The court has ordered the administration to begin lifting the invalidated tariffs within 10 days, but the Trump administration has already filed an appeal.

For now, the tariffs will stay in place pending the outcome of the appeal.

Should the ruling be upheld, businesses may be entitled to refunds – with interest – on tariffs paid, including the standard 10% rate and a particularly steep 145% on Chinese imports.

The case now moves to higher courts, where Trump may encounter more favorable judicial interpretation. You can perhaps accuse the Trump administration of many things, but being boring is certainly not one of them!