Federal court strikes down Trump’s 10% tariff as illegal in World Economy News 08/05/2026 A federal judicial panel ruled on Thursday that President Trump violated the law by imposing a 10 percent tariff on most U.S. imports, marking another legal defeat for the White House in its trade enforcement efforts. The Court of International Trade found in a split decision that Trump improperly used a 1970s trade statute when implementing the duties that took effect in February. The president had introduced these levies after the Supreme Court invalidated his earlier tariffs. The court declared the tariffs illegal but only explicitly prohibited their collection from small businesses and certain states that filed legal challenges. How the administration will respond to this order remains uncertain, though an appeal is widely anticipated. The ruling comes as Trump prepares to travel to China next week for discussions with leader Xi Jinping. Trade matters, including tariffs, are expected to feature prominently in the talks, and the court’s decision may weaken the president’s negotiating position. The decision increases the possibility that Trump may need to refund money collected through the illegal tariffs. A refund process is currently in progress for approximately $166 billion gathered under Trump’s previous tariffs that were deemed unlawful by the Supreme Court. Source: Investing.com 2026-05-08 hellenicshippingnews... tweet Share