A group of United States businesses has filed a lawsuit claiming that former President Donald Trump’s tariffs violate the International Emergency Economic Powers Act (IEEPA).

The case was submitted on April 13, 2025, to the US Court of International Trade by the Liberty Justice Center, which represents five businesses affected by the tariffs.

The IEEPA allows the president to impose economic measures in response to specific threats to national security or the economy.

The plaintiffs argue that these conditions were not met.

They contend that the law does not grant the president unilateral authority to impose tariffs.

🔗 Source: CNN

🧠 Food for thought

1️⃣ Constitutional power over tariffs has shifted dramatically from Congress to the president

The Liberty Justice Center lawsuit represents the latest challenge in a long-running constitutional tension over who controls America’s tariffs.

While Article I of the Constitution explicitly grants Congress the power to “lay and collect taxes, duties, imposts and excises,” presidents have gained increasing authority over tariffs since the 1930s 1.

This power transfer began significantly with the Reciprocal Trade Agreements Act of 1934, which allowed presidents to negotiate tariff reductions without congressional approval—a major departure from the previous 145 years when Congress directly set tariff rates 2.

Presidents have increasingly cited national security concerns to impose tariffs, particularly through Section 232 of the Trade Expansion Act of 1962, which gives the executive broad discretion to determine what constitutes a security threat 3.

This shift has prompted bipartisan congressional efforts to reclaim tariff authority, with senators like Toomey and Portman proposing legislation requiring congressional approval for tariffs imposed under national security justifications 1.

2️⃣ Using emergency powers for tariffs represents an unprecedented legal strategy

The lawsuits against Trump’s tariffs under the International Emergency Economic Powers Act (IEEPA) highlight a novel use of this legislation that could dramatically reshape executive trade authority.

IEEPA has historically been used primarily for implementing sanctions against hostile foreign governments and terrorists—not for broad tariff imposition on major trading partners 4.