Court strikes down Trump’s 10% global tariffs; judge rules grant cuts unconstitutional
President Donald Trump’s latest global tariffs have been struck down by a federal court. On Thursday, a three-judge panel of the Court of International Trade in New York found Trump’s 10% tariffs were illegal after small businesses sued.
Trump instituted the tariff after the U.S. Supreme Court struck down his broader “Liberation Day” tariffs in February. In a two-to-one decision, the trade court said Trump overstepped his authority, calling the tariffs “invalid” and “unauthorized by law.“
The new tariffs, which Trump invoked Section 122 of the Trade Act of 1974 to impose, were set to expire July 24 unless Congress voted to extend them.
The panel’s ruling only applies to the state of Washington and the two businesses that sued. The judges also ruled that the White House has to issue refunds plus interest for all tariffs paid by the state and two businesses.
The Trump administration is expected to appeal the panel’s decision and the case could ultimately head back to the Supreme Court.
Judge rules cancellations of humanities grants unconstitutional
Also on Thursday, a federal judge ruled Elon Musk’s Department of Government Efficiency’s (DOGE) cancellation of more than $100 million in humanities grants was unconstitutional.
The judge said DOGE “blatantly used” race, gender and other protected characteristics to determine the largest termination of federal grants in the National Endowment for the Humanities’ history. That judge permanently blocked the administration from terminating the grants.
“There can be no serious dispute that the review process implemented by DOGE did not conform to, or even resemble, NEH’s ordinary grant-review process,” U.S. District Judge Colleen McMahon wrote in her ruling.
McMahon said the Trump administration violated the First Amendment and the Fifth Amendment’s equal protection clause in terminating the grants.
Department of Justice lawyers had argued that the cuts of more than 1,400 congressionally-approved were legal. They said the cuts were in line with President Trump’s directive to eliminate grants associated with diversity, equity and inclusion programs and to cut down on unnecessary government spending.
It’s not yet clear whether the Trump administration will appeal that ruling.
The nonprofits that were part of the lawsuit against the grant cuts celebrated the judge’s decision.
“The humanities are not a luxury. They are how a democracy understands itself. Today’s decision is a step toward honoring the will of Congress and our mission as a nation — to seek the truth, know ourselves, and build a better future on that knowledge,” Joy Connolly, president of the American Council of Learned Societies, said in a statement.
Round out your reading
- First, it was the schools. Now they’re coming for your cellphone at work.
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- We’re building a new Straight Arrow. Help us shape our future by taking our survey.
Ella Rae Greene, Editor In Chief
