A U.S. federal court has issued a major ruling, halting the implementation of President Trump’s ‘Liberation Day’ tariffs. The court found that these tariffs, imposed under the International Emergency Economic Powers Act to address trade deficits, overstep the limits of presidential authority as granted by the U.S. Constitution. According to the International Trade Court in Manhattan, trade regulation falls under Congress’ exclusive jurisdiction. 5 small businesses from targeted countries have challenged this policy, arguing that the tariffs harm their operational capabilities. This ruling marks the first significant legal challenge against Trump’s tariff policy, with seven challenges filed by various parties and organizations including 13 U.S. states. Following the court’s decision to block the trade measures, the Trump administration has announced an appeal.