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Trump tariffs ruled mostly illegal by US appeals court

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Trump tariffs ruled mostly illegal by US appeals court


US President Donald Trump speaks after signing the VA Home Loan Program Reform Act at the White House in Washington, DC, US, July 30, 2025. — Reuters
US President Donald Trump speaks after signing the VA Home Loan Program Reform Act at the White House in Washington, DC, US, July 30, 2025. — Reuters

NEW YORK: A divided US appeals court ruled on Friday that most of Donald Trump’s tariffs are illegal, undercutting the Republican president’s use of levies as a key international economic policy tool.

The court allowed the tariffs to remain in place through October 14 to give the Trump administration a chance to file an appeal with the US Supreme Court.

The decision comes as a legal fight over the independence of the Federal Reserve also seems bound for the Supreme Court, setting up an unprecedented legal showdown this year over Trump’s entire economic policy.

Trump has made tariffs a pillar of US foreign policy in his second term, using them to exert political pressure and renegotiate trade deals with countries that export goods to the United States.

The tariffs have given the Trump administration leverage to extract economic concessions from trading partners but have also increased volatility in financial markets.

Trump lamented the decision by what he called a “highly partisan” court, posting on Truth Social: “If these Tariffs ever went away, it would be a total disaster for the Country.”

He nonetheless predicted a reversal, saying he expected tariffs to benefit the country “with the help of the Supreme Court.”

The 7-4 decision from the US Court of Appeals for the Federal Circuit in Washington, DC, addressed the legality of what Trump calls “reciprocal” tariffs imposed as part of his trade war in April, as well as a separate set of tariffs imposed in February against China, Canada and Mexico.

Democratic presidents appointed six judges in the majority and two judges who dissented, while Republican presidents appointed one judge in the majority and two dissenters.

The court’s decision does not impact tariffs issued under other legal authority, such as Trump’s tariffs on steel and aluminium imports.

‘Unusual and extraordinary’

Trump justified both sets of tariffs – as well as more recent levies – under the International Emergency Economic Powers Act. IEEPA gives the president the power to address “unusual and extraordinary” threats during national emergencies.

“The statute bestows significant authority on the President to undertake a number of actions in response to a declared national emergency, but none of these actions explicitly include the power to impose tariffs, duties, or the like, or the power to tax,” the court said.

“It seems unlikely that Congress intended, in enacting IEEPA, to depart from its past practice and grant the President unlimited authority to impose tariffs.”

The 1977 law had historically been used for imposing sanctions on enemies or freezing their assets. Trump, the first president to use IEEPA to impose tariffs, says the measures were justified given trade imbalances, declining US manufacturing power and the cross-border flow of drugs.

Trump’s Department of Justice has argued that the law allows tariffs under emergency provisions that authorise a president to “regulate” imports or block them completely.

Trump declared a national emergency in April over the fact that the US imports more than it exports, as the nation has done for decades. Trump said the persistent trade deficit was undermining US manufacturing capability and military readiness.

Trump said the February tariffs against China, Canada and Mexico were appropriate because those countries were not doing enough to stop illegal fentanyl from crossing US borders, an assertion the countries have denied.

More uncertainty

William Reinsch, a former senior Commerce Department official now with the Centre for Strategic and International Studies, said the Trump administration had been bracing for this ruling. “It’s common knowledge the administration has been anticipating this outcome and is preparing a Plan B, presumably to keep the tariffs in place via other statutes.”

There was little reaction to the ruling in after-hours stock trading.

“The last thing the market or corporate America needs is more uncertainty on trade,” said Art Hogan, chief market strategist at B. Riley Wealth.

Trump is also locked in a legal battle to remove Federal Reserve Governor Lisa Cook, potentially ending the central bank’s independence.

“I think it puts Trump’s entire economic agenda on a potential collision course with the Supreme Court. It’s unlike anything we’ve seen ever,” said Josh Lipsky, chair of international economics at the Atlantic Council.

The 6-3 conservative majority Supreme Court has issued a series of rulings favouring Trump’s second-term agenda but has also in recent years been hostile to expansive interpretations of old statutes to provide presidents newly found powers.

The appeals court ruling stems from two cases, one brought by five small US businesses and the other by 12 Democratic-led US states, which argued that IEEPA does not authorise tariffs.

The Constitution grants Congress, not the president, the authority to issue taxes and tariffs, and any delegation of that authority must be both explicit and limited, according to the lawsuits.

The New York-based US Court of International Trade ruled against Trump’s tariff policies on May 28, saying the president had exceeded his authority when he imposed both sets of challenged tariffs. The three-judge panel included a judge who was appointed by Trump in his first term.

Another court in Washington ruled that IEEPA does not authorise Trump’s tariffs, and the government has appealed that decision as well. At least eight lawsuits have challenged Trump’s tariff policies, including one filed by the state of California.





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Violations, threats, blockade main obstacle to genuine talks: President Pezeshkian

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Violations, threats, blockade main obstacle to genuine talks: President Pezeshkian



The Islamic Republic of Iran has invariably welcomed dialogue and agreement, but Washington’s constant breach of commitments, naval blockade and military threats remain the main obstacles to genuine negotiations, President Masoud Pezeshkian said on Wednesday.

In a post on X, the president reiterated Tehran’s openness to diplomacy while calling out Washington’s contradictory behavior.

“The Islamic Republic of Iran has welcomed dialogue and agreement and continues to do so,” Pezeshkian wrote.

“Breach of commitments, blockade and threats are the main obstacles to genuine negotiations. The world sees your endless hypocritical rhetoric and contradiction between claims and actions,” he added.

The United States and Israel launched their illegal, unprovoked war of aggression against Iran on February 28, assassinating Leader of the Islamic Revolution Ayatollah Seyyed Ali Khamenei and striking military installations and civilian infrastructure, including schools, hospitals and bridges.

Since then, Iran has demonstrated its responsible approach by agreeing to a two-week ceasefire brokered by Pakistan, despite having the upper hand on the battlefield after 100 waves of decisive retaliatory strikes under Operation True Promise 4.

Despite the ceasefire, Washington keeps highlighting a naval blockade of Iranian ports. Tehran considers it illegal under international law and a clear violation of the truce.

The United States has also threatened further military action, while its officials have issued contradictory statements about their commitment to diplomacy.

Iranian officials have said no decision has been made yet on whether to take part in a second round of negotiations in Islamabad, citing US violations of the ceasefire, including the naval blockade.



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Warner, Khushdil help Karachi Kings cruise past Lahore Qalandars

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Warner, Khushdil help Karachi Kings cruise past Lahore Qalandars



A composed half-century from captain David Warner, supported by a late surge from Khushdil Shah, guided Karachi Kings to a five-wicket win over Lahore Qalandars in Pakistan Super League (PSL) 11 encounter at Lahore’s Gaddafi Stadium on Thursday.

Set to chase a daunting 200-run target, the visitors knocked off the winning runs for the loss of five wickets and eight balls to spare to keep their playoff hopes alive.

The Kings got off to a shaky start to the pursuit as Ubaid Shah dismissed right-handed opener Jason Roy (nine) in the second over with just 10 runs on the board.

Warner then shared brief partnerships with Reeza Hendricks and Salman Ali Agha, who could contribute 10 and 14, respectively.

The skipper then received ample support from the other end in the form of Moeen Ali, and the experienced duo put together 58 runs at a brisk pace before Ubaid struck again, dismissing the latter, who made a 17-ball 39, laced with four sixes and a four.

The Kings then suffered another setback nine deliveries later as wicketkeeper batter Azam Khan, who scored 14 off eight balls, was cleaned up by Daniel Sams.

His dismissal paved the way for Khushdil Shah to walk out and bat at No.7, and the left-handed batter turned the game on its head with belligerent hitting, the highlight of which was the pulsating 18th over, bowled by Shaheen Shah Afridi, which went for 23 runs.

With just 11 runs required off 12 deliveries, Khushdil hit Haris Rauf for back-to-back sixes and steered the Kings over the line in the penultimate over.

Khushdil remained unbeaten with a swashbuckling 14-ball 44, comprising five fours and two sixes, while Warner top-scored with 63 not out from 44 deliveries, laced with 10 boundaries, including a six.

Ubaid was the pick of the bowlers for the Qalandars, taking three wickets for 41 runs in his four overs, while Daniel Sams and Haris Rauf made one scalp apiece.

Khushdil was named Player of the Match for a match-winning 44 off just 14 balls.

Kings captain David Warner’s decision to field first backfired as the holders piled up 199/6 in their 20 overs, courtesy of a century-plus partnership between Fakhar and Shafique.

The Qalandars, however, had a shaky start to their innings as Warner sent back young opener Mohammad Farooq (18) with a direct hit in the third over with just 24 runs on the board.

Fakhar was joined by Shafique in the middle, and the duo steered the Qalandars into a commanding position by knitting a 110-run partnership for the second wicket off just 61 deliveries until the former was dismissed by Moeen Ali in the 14th over.

The left-handed opener made a brisk 61 off 41 deliveries, hitting five fours and three sixes.

Moeen struck again in his next over, getting rid of Charith Asalanka (zero), and brought the total down to 148/3.

Shafique, on the other hand, was cleaned up by debutant Rizwanullah in the next over and walked back after top-scoring for the Qalandars with a 36-ball 62, studded with five fours and three sixes.

With the scoreboard reading 160/4 in 16.5 overs, all-rounders Sikandar Raza and Daniel Sams (20) stitched a handy 23-run partnership, which culminated with the latter’s run-out on the fifth delivery of the penultimate over.

Meanwhile, Raza remained unbeaten with a 12-ball 18 and ensured adding crucial runs to the Qalandars’ total at the backend with captain Shaheen Shah Afridi, who made 10 off four.

Moeen was the standout bowler for the Kings as he took two wickets for just 26 runs in his four overs, while Rizwanullah and Hasan Ali made one scalp.

 



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Trump orders Iran mine-layers sunk as Iran tolls tankers

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Trump orders Iran mine-layers sunk as Iran tolls tankers


Ships and boats in the Strait of Hormuz off the coast of Musandam, Oman, April 20, 2026. — Reuters
Ships and boats in the Strait of Hormuz off the coast of Musandam, Oman, April 20, 2026. — Reuters
  • Pentagon says US forces boarded tanker carrying Iranian oil. 
  • Says it will continue maritime enforcement against illicit networks.
  • Ceasefire only meaningful if not violated through blockade: Ghalibaf.


TEHRAN: President Donald Trump ordered the US Navy on Thursday to destroy any Iranian boat caught laying mines in the Strait of Hormuz, putting more pressure on a fraying ceasefire as disruption from the Gulf stand-off battered the world economy.

Trump’s announcement came after the US fleet boarded a vessel in the Indian Ocean that was transporting oil from Iran and after a senior Iranian official said Tehran had banked its first proceeds from the tolls it exacts on shipping through the strait.

With plans for renewed peace talks in Pakistan hanging in the balance, more fuel-hungry airlines cancelled flights, oil prices climbed higher once again and the keenly-watched S&P Global PMI index showed eurozone business activity shrinking for the first time in 16 months.

“I have ordered the United States Navy to shoot and kill any boat, small boats though they may be… that is putting mines in the waters of the Strait of Hormuz,” Trump posted.

Iran vowed it would keep the strait closed to all but a trickle of approved vessels for as long as the US Navy blockades its ports, brushing off demands from Trump to both reopen Hormuz and surrender its enriched uranium.

The US responded to Iran’s action by imposing its own blockade of Iranian ports, and on Thursday the Pentagon announced on social media that US forces had “carried out a maritime interdiction and right-of-visit boarding of the sanctioned stateless vessel M/T Majestic X transporting oil from Iran, in the Indian Ocean”.

The post included footage of US military personnel rappelling from helicopters onto the deck of a large tanker.

The statement said the US would “continue global maritime enforcement to disrupt illicit networks and interdict vessels providing material support to Iran, wherever they operate”.

‘Not possible’

While strikes around the region have mostly ceased since the two-week-old truce began, there has been no letup in the confrontation over Hormuz, with both sides seeking economic leverage — only for Trump to announce an indefinite ceasefire to create space for more talks.

“A complete ceasefire only has meaning if it is not violated through a naval blockade,” said Iran’s parliamentary speaker Mohammad Bagher Ghalibaf, who led Tehran’s delegation at a first round of talks in Pakistan.

“Reopening the Strait of Hormuz is not possible amid a blatant violation of the ceasefire.”

Ghalibaf’s deputy, Hamidreza Hajibabaei, said Iran received its first revenue from tolls it is imposing on ships seeking to cross Hormuz, a route that in peacetime accounts for a fifth of the world’s oil and gas flows, and other vital commodities.

Analysts said Tehran, in particular its hardline leaders associated with the Islamic Revolutionary Guards Corps (IRGC), believes that Iran’s blockade gives it sufficient economic leverage to force Washington to back down on its main demands in peace talks.

And some, such as Danny Citrinowicz of the Tel-Aviv Institute for National Security Studies, criticised Israel and the US for misreading the Iranian government’s position.

“Tehran has consistently demonstrated a willingness to absorb economic pain while holding firm on what it views as core national interests. There is little reason to believe this time will be different,” he said in a social media post.

“Rather than moving toward concession, Iran is positioning itself to escalate.”

A brief from the Soufan Centre think tank said Iran’s hardliners “argue that a prolonged elevation of global energy prices and mounting global shortages of some goods will increasingly pressure Trump to accede to Iran’s positions, end the war, and eventually withdraw US forces from the region.

“Trump and his team calculate the opposite — that the US blockade of Iran’s seaborne trade, which carries all of its oil exports, will quickly cripple Iran’s economy and force Iran to accept US demands.”

Peace talks 

On Wednesday, Trump told the New York Post that talks could resume in Pakistan within two to three days, even though Iran has not confirmed participation and Vice President JD Vance put his travel to Islamabad on hold on Tuesday.

Iran’s Revolutionary Guards on Wednesday said they forced two ships to the Iranian shore from the Strait of Hormuz.

The US military’s Central Command said, prior to Thursday’s announcement, that its forces blockading Iran’s ports had so far “directed 31 vessels to turn around or return to port”.

After agreeing the ceasefire with Iran, the United States helped broker a truce between Israel and Lebanon, including Hezbollah.

Despite the declared truce, Israeli strikes killed five more people on Wednesday, Lebanese media said.

Israel and Lebanon will hold a second round of talks in Washington on Thursday, during which Beirut will request a one-month extension of the ceasefire during the meeting, according to a Lebanese official.

Israeli attacks on Lebanon have killed more than 2,450 people since the start of the war, according to Lebanese authorities.





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