A federal trade court rules that President Donald Trump’s 10% global tariffs are unlawful, finding they are not authorized under the legal basis used by the administration. Multiple outlets report the U.S. Court of International Trade reaches this conclusion through a divided three-judge panel, saying the tariffs conflict with the Trade Act provisions the administration invoked—described as Section 122 of a 1974 trade law. The decision is characterized as a setback for the administration’s economic and trade agenda and as a potential source of uncertainty for businesses with global supply chains.

In parallel developments, one outlet says a U.S. appeals court pauses the ruling, indicating the case may continue through further judicial review rather than taking effect immediately. Several reports also place the latest tariffs in the context of earlier litigation, noting that the U.S. Supreme Court vacated earlier tariff actions taken by Trump, and that the 10% temporary duty was imposed after that Supreme Court action.