A trade court ruled the tariffs unlawful under a 1974 trade law but limited relief to two businesses and Washington state.
A US trade court invalidated former President Donald Trump’s 10% global tariffs, citing misuse of Section 122 of the Trade Act of 1974. The ruling, however, only suspended the levies for two small businesses and the state of Washington, leaving broader implications unclear.
The decision follows legal challenges arguing the tariffs lacked proper justification. While the court found the imposition misguided, one judge noted it was premature to declare full victory for plaintiffs. The tariffs were part of Trump’s broader trade policy aimed at addressing global imbalances.
The US Dollar Index (DXY) edged down 0.03% to 98.25 following the ruling, reflecting muted market reaction. The USD remains the dominant global currency, with daily foreign exchange turnover averaging $6.6 trillion in 2022.