Donald Trump tariffs blocked: What the US court decision means for Scottish exports - whisky and salmon

Import levies on key Scottish products like whisky and salmon look set to be removed after a US federal court blocked Donald Trump’s sweeping tariffs.

In a major blow to his economic policies, three judges at the US Court of International Trade have blocked the American president’s worldwide trade tariffs and claimed he had overstepped his authority.

US President Donald Trump speaks during a swearing in ceremony. Picture: Andrew Harnik/Getty Images | Getty Images

This includes the 10 per cent tariffs on numerous Scottish exports, including Scotch whisky.

Why has the US court ruled on a block?

The court has also blocked the additional US levies Mr Trump imposed on China, Mexico and Canada. These levies were imposed because of what the White House says was an unacceptable flow of drugs and illegal immigrants to the US.

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However, it is understood any tariffs on steel and aluminium will not be affected, as this falls under a different piece of legislation.

How will the White House respond?

The White House now has ten days to remove all the tariffs, which the court says were imposed illegally.

Mr Trump’s administration lodged an appeal within minutes, and said: “It is not for unelected judges to decide how to properly address a national emergency.”

What has Trump said about the tariffs?

The US president had claimed he had the power to impose these tariffs because he was responding to a national emergency and therefore did not need to wait for Congress to grant legislation for this.

Mr Trump is yet to issue an official statement, but has posted numerous memes on his Truth Social platform, including one which said “President Trump was right about everything”, and “he’s on a mission from God and nothing can stop what is coming”.

How have the markets reacted?

London stocks were treading water on Thursday as Europe was broadly unmoved by the court ruling.

The move was, however, welcomed on Wall Street which made further gains after the opening bell.

But traders in the UK, which is expected to see its set of US tariffs largely unchanged, failed to react much to the news, with sentiment largely directed by earnings updates.

The FTSE 100 London’s top index finished down by 0.11 per cent, or 9.56 points, to close at 8,716.45.

Europe’s other major markets lost early gains as investors and traders digested the tariff ruling, with analysts suggesting it may ultimately have little impact.

What about Elon Musk?

This comes as Elon Musk announced he is leaving the Trump administration after leading the Department of Government Efficiency, also known as Doge, which saw thousands of federal jobs axed.

Mr Musk’s departure comes just a day after the world’s richest man criticised Mr Trump’s budget bill, which proposes multi-trillion dollar tax breaks and increased defence spending.

The tech tycoon had been designated as a “special government employee” allowing him to work a federal job for 130 days each year. Given Mr Trump’s inauguration on January 20, he would have hit that limit at the end of the month.