Business

US court rules many of Trump’s global tariffs are illegal

Published

1 year ago

2025/08/30

Priyan

A US appeals court has ruled that most tariffs issued by US President Donald Trump are illegal, setting up a potential legal showdown that could upend his foreign policy agenda.

The ruling affects Trump’s “reciprocal” tariffs, imposed on most countries around the world, as well as other tariffs slapped on China, Mexico and Canada.

In a 7-4 decision, the US Court of Appeals for the Federal Circuit rejected Trump’s argument that the tariffs were permitted under an emergency economic powers act, calling them “invalid as contrary to law”.

The ruling will not take effect until 14 October to give the administration time to ask the Supreme Court to take up the case.

Trump criticised the appeals court and its ruling on Truth Social, saying: “If allowed to stand, this Decision would literally destroy the United States of America.”

“Today a Highly Partisan Appeals Court incorrectly said that our Tariffs should be removed, but they know the United States of America will win in the end,” he wrote.

“If these Tariffs ever went away, it would be a total disaster for the Country. It would make us financially weak, and we have to be strong.”

Trump had justified the tariffs under the International Emergency Economic Powers Act (IEEPA), which gives the president the power to act against “unusual and extraordinary” threats.

Trump has declared a national emergency on trade, arguing that a trade imbalance is harmful to US national security. But the court ruled that imposing tariffs is not within the president’s mandate, and that setting levies is “a core Congressional power”.

In its judgement, the US Court of Appeals for the Federal Circuit rejected Trump’s argument that the tariffs were permitted under his emergency economic powers, calling the levies “invalid as contrary to law”.

The 127-page ruling says that the IEEPA “neither mentions tariffs (or any of its synonyms) nor has procedural safeguards that contain clear limits on the President’s power to impose tariffs”.

The power to impose taxes and tariffs therefore continues to belong to Congress, the court ruled, and the IEEPA does not override this.

The court wrote that it is unlikely that when Congress passed the law in 1977, it was intended to “depart from its past practice and grant the President unlimited authority to impose tariffs”.

“Whenever Congress intends to delegate to the President the authority to impose tariffs, it does so explicitly, either by using unequivocal terms like tariff and duty, or via an overall structure which makes clear that Congress is referring to tariffs,” the judges wrote.

The ruling comes in response to two lawsuits filed by small businesses and a coalition of US states.

The lawsuits were filed after Trump’s executive orders in April, which imposed a baseline 10% tariff on almost every country in the world, as well as “reciprocal” tariffs on dozens of countries. Trump declared the date to be America’s “liberation day” from unfair trade policies.

In May, the New York-based Court of International Trade declared the tariffs were unlawful. That decision was put on hold during the appeal process.

In addition to those tariffs, Friday’s ruling also strikes down tariffs on Canada, Mexico and China, which Trump argues are necessary to stop the importation of drugs.

However, the decision does not apply to other tariffs, like those imposed on steel and aluminium, which were brought in under a different presidential authority.

Ahead of the ruling, lawyers for the White House argued that invalidating the tariffs would lead to a 1929-style financial collapse, a stock market crash which led to the Great Depression.

“Suddenly revoking the President’s tariff authority under IEEPA would have catastrophic consequences for our national security, foreign policy, and economy,” they wrote in a letter.

“The President believes that our country would not be able to pay back the trillions of dollars that other countries have already committed to pay, which could lead to financial ruin.”

The ruling also raises questions about deals some nations agreed with the US for reduced tariffs rates.

The latest development means the case is now almost certain to head to the US Supreme Court, which has in recent years taken a sceptical view toward presidents who try to implement sweeping new policies that are not directly authorised by Congress.

During Joe Biden’s presidency, the court expanded on what it called the “major questions doctrine” to invalidate Democratic efforts to use existing laws to limit greenhouse gas emissions by power plants and to forgive student loan debt for millions of Americans.

The top court’s nine justices, if they agree to consider the case, could weigh whether Trump’s expansive tariff programme is another example of presidential overreach or if it is sufficiently grounded in law and presidential authority.

Even though the appellate court handed the president a defeat, the White House may take solace in the fact that only three of the court’s 11 judges were appointed by Republicans.

The Supreme Court has six Republican appointees, including three who were selected by Trump himself.

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Business

Ogilvy Group tops award tally at Dragons of Sri Lanka 2026

Published

10 hours ago

2026/09/6

Thilina Walpola

The Ogilvy team with the Gold and Silver awards at the Dragons of Sri Lanka 2026

Nine awards, including two Golds, across disciplines recognise business-driven creativity

Ogilvy Group Sri Lanka delivered a standout performance at the recently concluded Dragons of Sri Lanka 2026 Awards, securing a total of nine awards comprising two Gold Dragons, one Silver Dragon and six Black Dragons, among the festival’s highest overall award tallies, a company news release said.

Gold Dragon wins for Phoenix Ogilvy and Ogilvy Digital, together with the seven additional recognitions across multiple categories, highlighted Ogilvy’s ability to combine creativity, strategic thinking and commercial effectiveness to deliver business results.

Organised by the 4As Sri Lanka, the third edition of Dragons of Sri Lanka shortlisted more than 50 agencies and corporates, making it one of the country’s most competitive marketing communications awards. These local awards, along with the chapters in Malaysia and Pakistan are part of the Dragons of Asia platform, one of the region’s leading programmes for marketing communications effectiveness, with entries being judged on strategy, originality, execution and measurable results.

Ogilvy Digital accounted for eight awards in total, including a Gold Dragon in the Business & Trade Marketing category, and a Silver Dragon in the Innovative Idea or Concept category. The Agency additionally received six Black Dragons across the categories of Innovative Idea or Concept, Business & Trade Marketing, Content Creation, Small Budget, Event or Experiential, and Brand Trial or Sales Generation.

Commenting on the achievement, Sajith Weerasinghe, Chief Operating Officer of Ogilvy Digital, said, “These recognitions reflect the breadth of capabilities we’ve built across strategy, creative, content, experience design, technology and performance marketing. The fact that the work was recognised across so many different disciplines demonstrates our ability to apply creativity to a wide range of business challenges and objectives. We’re proud that this achievement spans multiple clients, categories and types of work, reflecting both the versatility of our people and our commitment to delivering results.”

The Ogilvy Group’s second Gold Dragon win was Phoenix Ogilvy’s recognition in the Product Launch or Re-Launch category for the relaunch of American Premium Water. It was a multi-dimensional campaign which refreshed the identity and rejuvenated the positioning of one of Sri Lanka’s pioneering bottled drinking water brands, bolstering its 30-year heritage while connecting with a new generation of consumers.

Commenting on the win, Siddhartha Roy, Chief Operating Officer at Phoenix Ogilvy, said, “There’s always something special about reimagining a brand with a rich heritage. American Premium Water has been a trusted name in Sri Lanka for more than three decades, but the challenge was to make it relevant and compelling for a new generation of consumers. We created a new blueprint for growth for the brand’s positioning, proposition and visual identity, and manifested it through design, packaging and storytelling. To see that transformation recognised with a Gold Dragon, and more importantly reflected in the brand’s renewed momentum in the market, makes this a particularly rewarding achievement.”

The Ogilvy Group Sri Lanka operates across multiple marketing communication disciplines and comprises over 290 staff in creative, strategy, digital, media, public relations and integrated communications. As part of the global Ogilvy network, the Group partners with leading local and international brands to create integrated campaigns that build brands, influence behaviour and drive business growth.

Business

Musical tribute to Fr. Marcelline Jayakody held in California

Published

10 hours ago

2026/09/6

Thilina Walpola

Rev. Fr. Rashmi M. Fernando with the performers at the event

A musical tribute celebrating the life and legacy of Rev. Fr. Marcelline Jayakody, OMI, renowned for his contribution to Sri Lankan arts, music, culture and religious harmony, was held in California with the participation of a large gathering of Sri Lankans.

Titled “Sri Lanka Rani Maniye,” the event was organised by the Sri Lankan Catholic Community in California (SLCCC) under the guidance of Rev. Fr. Rashmi M. Fernando, S.J.

Shalika Perera singing at the event

The programme honoured Fr. Jayakody, affectionately known as “Pansale Piyathuma” (The Priest of the Temple), for his efforts to promote Buddhist-Catholic understanding, interfaith dialogue and a shared Sri Lankan identity.

The event brought together members of the Maha Sangha, the Consul General of Sri Lanka in Los Angeles, musicians, singers, donors, parents, children and members of the Sri Lankan community from Los Angeles and other parts of Southern California.

Music, song and Sri Lankan cultural traditions featured prominently, with organisers placing particular emphasis on introducing the country’s artistic and cultural heritage to younger generations of Sri Lankans growing up overseas.

The programme also highlighted the importance of community unity, religious harmony and mutual respect among Sri Lankans living abroad.

Rev. Fr. Fernando told the gathering that the event marked only the beginning of efforts that could achieve more through unity “for the pride and greater good of our motherland, Sri Lanka.”

The organisers thanked the performers, volunteers, donors and well-wishers who contributed to the event, which concluded as a celebration of Fr. Jayakody’s enduring cultural legacy and the Sri Lankan diaspora’s continuing connection with its homeland.

Business

Hayleys Fentons completes Rs. 1 bn manufacturing facility in Wathupitiwala

Published

10 hours ago

2026/09/6

Thilina Walpola

Hayleys Fentons Limited has completed construction of a state-of-the-art manufacturing facility for Shield Restraint Systems (Pvt) Ltd at the Wathupitiwala Export Processing Zone, with the project completed on schedule within approximately 14 months.

The project, valued at more than Rs. 1 billion, commenced with the laying of the foundation stone on January 7, 2025. It was undertaken by the project arm of Hayleys Fentons, with Design Consortium International (Pvt) Ltd serving as the principal design consultant.

The facility has been designed to meet international industry standards and incorporates advanced safety and energy-efficiency features. A pre-engineered building structural system was used to facilitate faster construction and optimise project costs.

The new facility will manufacture safety restraint systems for the international automotive industry through Shield Restraint Systems.

Hayleys Fentons Deputy Managing Director – Projects Sujith De Alwis said the timely completion of the project demonstrated the company’s engineering and project management capabilities and the ability of Sri Lankan construction expertise to meet stringent international standards.

Hayleys Mobility Executive Director Roshani Dharmaratne said the project required detailed planning, quality management and coordination across multiple disciplines.

Sujith De Alwis, Deputy Managing Director – Projects of Hayleys Fentons Limited and Roshani Dharmaratne, Executive Director of Hayleys Mobility Limited

Chairman Design Consortium Migara Alwis said the project further strengthens its portfolio in specialised industrial construction and supports investment linked to Sri Lanka’s participation in the global automotive supply chain.