Trump’s IEEPA tariffs overturned by international court, setting up Congress to reclaim taxing powers: CEI analysis

Last night, the Court of International Trade overturned the tariffs that President Trump implemented under the International Emergency Economic Powers Act (IEEPA). CEI senior economist Ryan Young says it’s time for Congress to back the courts and reclaim tariffing powers as delineated under the Constitution.

“The separation of powers is one of America’s founding principles, and it is good to see courts reassert it. Presidential powers have limits. And Congress, not the president, has taxing powers under the Constitution.

“President Trump’s tariffs have already done significant damage to America’s economy, and it may be too late to prevent a recession. But if this and other challenges to the Trump tariffs succeed, the economy should recover quickly. Economic fundamentals are still mostly sound.

“Unemployment is low, monetary policy has been stable, and growth was above average right up until the tariffs hit.

“This case is not over yet. Congress must also back up the courts and amend the International Emergency Economic Powers Act (IEEPA) to specifically prevent presidents from using it to raise tariffs.

“Even with a tough road ahead, this is a significant victory for American consumers and businesses. It sets an important precedent for other pending legal challenges to presidential tariff-making powers.”

More from CEI:

• The Tariff Roller Coaster Is Playing Tricks on You: Ryan Young for National Review
• Trade Under Blockade