Carney welcomes U.S. court decision striking down parts of Trump’s tariffs agenda

Prime Minister Mark Carney expressed his approval of a recent U.S. court ruling that struck down portions of Donald Trump’s tariffs regime. The court deemed that Trump had exceeded his constitutional authority by imposing broad levies on global goods. Carney emphasized that Canada has long held the position that Trump’s tariffs are both unlawful and unjustified.

While Carney welcomed the court’s decision, he cautioned that only some of the Canadian-focused tariffs imposed by Trump have been nullified. The border security tariffs, intended to combat drug trafficking and illegal immigration, are now in jeopardy. However, other tariffs on Canadian steel, aluminum, and automobiles remain unaffected by this ruling.

Carney noted that the remaining levies, known as “Section 232” tariffs, are also unjustified. He expressed concerns that Trump may utilize this section of the trade law to target additional strategic sectors in Canada, such as lumber, semiconductors, and pharmaceuticals. Despite the court ruling, Carney acknowledged that the trading relationship between Canada and the U.S. continues to be significantly impacted.

Moving forward, Carney stressed the importance of establishing a new economic and security relationship with the U.S. post-court decision. He highlighted that enhancing ties with the U.S. remains a top priority for his government despite the setback faced by the Trump administration.

The recent ruling by the United States Court of International Trade dealt a significant blow to Trump’s trade agenda. The court determined that Trump had overstepped his authority by imposing reciprocal tariffs on imports from various countries, a responsibility that should typically lie with Congress. Additionally, the court invalidated border-related tariffs on Canadian goods aimed at addressing fentanyl exports and illegal migration, citing that emergency powers were inappropriately utilized.

The court emphasized that while the president may leverage tariffs for negotiation purposes, there are limits to his authority under the International Emergency Economic Powers Act. The ruling underscored that the president’s tariff authority must be bounded by meaningful limits set forth by the law.

In response to the court’s decision, the White House has announced its intention to appeal the ruling to a higher court. The outcome of this appeal could have significant implications for the future of U.S. trade policy and its relationship with Canada.