Skip to main content

Featured Insights

Insights on how Canada can build a resilient economy and fortify North America

In the News

Donald Trump’s emergency tariffs are “contrary to law.”

That’s the verdict of the Court of International Trade on the U.S. President’s use of the novel International Economic Emergency Powers Act (IEEPA, to impose new tariffs on imports from nearly all of America’s trading partners. “We do not read IEEPA) to delegate an unbounded tariff authority to the president,” according to the 49-page decision.

The U.S. federal court’s unanimous ruling by the three judges overturns all the tariffs the White House had imposed under IEEPA, including duties on Canada, Mexico and China to address fentanyl smuggling and the worldwide “reciprocal” tariffs announced in April against  trading partners to redress chronic U.S. trade deficits. U.S. tariffs on steel, aluminum and automobiles are still in effect.

The White House has vowed to appeal the decision and may deploy other ways to impose tariffs, which have emerged as Trump’s key weapon to address trade deficits.

INSIGHTS AND ANALYSIS

COMMENTARY

READ THIS NEXT

BUSINESS RESOURCES

RBC Global Connect

Expanding into global markets comes with challenges, and having the right resources can make all the difference. RBC Global Connect™ is a free online platform designed to support businesses in researching, planning, and navigating international growth. Whether you’re exploring new opportunities or expanding existing operations, our goal is to provide the insights and tools you need to move forward with confidence.

The Growth Project

This project explores key drivers of economic growth including productivity, evolving technologies like AI, key sectors including agriculture and trade, and the intersection of skills and immigration. We will explore a new generation of ideas to drive prosperity: case studies and actionable steps needed to navigate the dynamic landscape of economic expansion, and uncover tools that foster growth in our community, business, and country.

This article is intended as general information only and is not to be relied upon as constituting legal, financial or other professional advice. The reader is solely liable for any use of the information contained in this document and Royal Bank of Canada (“RBC”) nor any of its affiliates nor any of their respective directors, officers, employees or agents shall be held responsible for any direct or indirect damages arising from the use of this document by the reader. A professional advisor should be consulted regarding your specific situation. Information presented is believed to be factual and up-to-date but we do not guarantee its accuracy and it should not be regarded as a complete analysis of the subjects discussed. All expressions of opinion reflect the judgment of the authors as of the date of publication and are subject to change. No endorsement of any third parties or their advice, opinions, information, products or services is expressly given or implied by Royal Bank of Canada or any of its affiliates.

This document may contain forward-looking statements within the meaning of certain securities laws, which are subject to RBC’s caution regarding forward-looking statements. ESG (including climate) metrics, data and other information contained on this website are or may be based on assumptions, estimates and judgements. For cautionary statements relating to the information on this website, refer to the “Caution regarding forward-looking statements” and the “Important notice regarding this document” sections in our latest climate report or sustainability report, available at: https://www.rbc.com/community-social-impact/reporting-performance/index.html. Except as required by law, none of RBC nor any of its affiliates undertake to update any information in this document.