New york: The U.S. Court of International Trade has declared U.S. President Donald Trump's newly imposed global tariff illegal, effectively nullifying the 10 percent tariffs on most U.S. imports.

According to Azerbaijan State News Agency, the court's decision was based on the stipulations of Section 122 of the Trade Act of 1974, which permits tariffs only in instances of "large and serious balance-of-payment deficits." The court found that the current trade deficit does not qualify as a balance-of-payment deficit. In a release, Oregon Attorney General Dan Rayfield's office confirmed, "The President's tariffs proclamation 'is invalid, and the tariffs imposed on Plaintiffs are unauthorized by law.'"

Initially, the Trump administration invoked the International Emergency Economic Powers Act in April 2025 to impose universal tariffs. However, the Supreme Court deemed these tariffs unlawful in February of this year. Following this setback, Trump turned to Section 122 of the Trade Act of 1974, announcing a 10 percent ad valorem duty on all imported articles, citing trade deficits as the reasoning.

The enforcement of this duty began at 12:01 a.m. Eastern Standard Time on February 24, 2026, with plans to remain in effect until 12:01 a.m. Eastern Daylight Time on July 24, 2026, barring any suspension, modification, or termination prior to this date, or an extension by Congress.

In response to the tariff, a coalition of 24 U.S. states lodged complaints in March 2026, challenging the legality of the tariffs imposed by the Trump administration.

Source: Azerbaijan State News Agency