Judges Challenge Legality of Trump's Trade Tariffs

A panel of trade court judges is questioning President Donald Trump's 10% import tariffs, suggesting that a large trade deficit is not enough justification. The U.S. Court of International Trade is reviewing lawsuits filed by 24 states and small businesses against these tariffs, which they claim sidestep a Supreme Court decision and rely on outdated laws to enforce trade restrictions.

Judges from the U.S. Court of International Trade have cast doubts on the legality of President Donald Trump's 10% import tariffs, arguing that a substantial trade deficit may not justify such broad tariffs. The court reviewed lawsuits filed by 24 states and small businesses challenging the tariffs' legality.

The plaintiffs argue that the tariffs, imposed on February 24 under the Trade Act of 1974, attempt to bypass a recent U.S. Supreme Court decision. They claim the tariffs misuse the act intended for short-term monetary issues, not routine trade deficits.

The trade court is examining whether these tariffs, which significantly impacted business investments in 2025, were warranted. The decision could redefine the permissible use of tariffs based on economic grounds.

(With inputs from agencies.)