The U.S. Court of International Trade ruled Thursday that President Donald Trump‘s 10% global tariffs were unlawfully imposed under a 1970s trade statute, delivering another legal setback to the administration’s trade agenda.
This has prompted reactions from economists, governors and Democratic lawmakers who argued the trade policies were unlawfully imposed and harmful to consumers.
Wolfers Says Trump Tariffs Were Unconstitutional
Economist Justin Wolfers, in his Thursday post on X, said that Trump exceeded the authority granted under the trade statute his administration cited to justify the tariffs.
“Trump’s tariffs — the ones he added because the last ones were ruled unconstitutional — were just ruled unconstitutional,” Wolfers wrote, adding that the law permits only temporary tariffs aimed at addressing “large and serious U.S. balance-of-payments deficits.”
In December 2025, the U.S. Census Bureau reported a goods and services deficit of $70.3 billion, which was a significant increase from November’s $53.0 billion, culminating in a total annual deficit of $901.5 billion, only marginally lower than the previous year’s $903.5 billion.
Democratic Governors Cheer Court Ruling
Gov. Josh Shapiro argued that tariffs have increased costs for farmers, businesses and consumers, calling Trump’s trade “disastrous” and pledging further legal action if necessary.
The Pennsylvania governor said the decision came after he “sued the Trump administration… again” and went to court “to protect Pennsylvanians.”
Gov. Mikie Sherrill also welcomed the court ruling in a post on X, saying that “I’ve said from the beginning I’d fight Trump’s tariffs tooth-and-nail.” She praised the state attorney general’s role in the legal challenge.
“Trump’s illegal tariff regime is driving up costs for consumers and small businesses,” the New Jersey governor said, adding that the state would continue fighting the policies “to bring costs down for families.”
Recent Joint Economic Committee data showed that the average U.S. family is on track to pay more than $2,500 in tariff-related costs this year—a 43% increase from the $1,745 average estimated during the first year of President Donald Trump’s second term.
Beyer Calls Trump Tariffs An ‘Illegal Tax’
In a post on X, Rep. Don Beyer (D-Va.) described the tariffs as “an illegal tax on the American people” and said, “This unconstitutional abuse of power is costing American families thousands of dollars and hurting our economy.”
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by a Benzinga editor.
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