Legal Battle Against 'Liberation Day' Tariffs: Challenging Executive Power

Five U.S. businesses challenge Trump's tariffs in court, contesting the president's national emergency declaration as an overreach of authority. The lawsuit aims to halt tariffs imposed based on a trade deficit. The hearing explores the boundaries of executive power and its implications on small businesses.

Five small American businesses are challenging President Donald Trump's 'Liberation Day' tariffs in court, accusing him of exceeding his authority by declaring a national emergency to impose taxes on imports from countries with higher exports to the U.S. than imports.

The court hearing could significantly impact the scope of executive power, with plaintiffs arguing that Trump's actions are an unlawful expansion of presidential authority. The case draws attention to legal limits on a president's power to impose tariffs unilaterally.

The court is assessing whether the trade deficit constitutes a 'national emergency' under the International Emergency Economic Powers Act. Plaintiffs fear economic harm from tariffs, claiming the trade deficit is normal rather than an emergency.

(With inputs from agencies.)