ECONOMYNEXT – US President Donald Trump’s team has lodged an appeal after a US federal court blocked his tariffs, which would have heavily impacted countries like Sri Lanka.
The Court of International Trade has ruled that the president does not have unilateral authority to impose tariffs on nearly every country.
The court said the US Constitution gives exclusive powers to regulate commerce with other nations to the US Congress, comprising the House of Representatives and the US Senate, and that this is not superseded by the president’s remit to safeguard the economy.
Trump had cited the 1977 International Emergency Economic Powers Act (IEEPA) to justify the tariffs, but in its ruling the three-judge panel said this does not give him the power to impose the sweeping tariffs.
“The Worldwide and Retaliatory Tariff Orders exceed any authority granted to the President by IEEPA to regulate importation by means of tariffs. The Trafficking Tariffs fail because they do not deal with the threats set forth in those orders,” they wrote, according to news reports.
Markets around the world have seen volatility since Trump announced the exorbitant tariffs on April 2.
Sri Lanka President Anura Dissanayake on Wednesday had met export officials to discuss the country’s response to the 44 percent tariff Trump said he will impose on the island nation.
A Sri Lankan delegation is set to participate in the second round of physical discussions in Washington, focusing on tariff-related matters, following an invitation extended by the Office of the United States Trade Representative (USTR).
The 44 percent tariff could have devastating impacts on Sri Lanka’s economy including closure of several garment firms, experts have said. (Colombo/May28/2025)