GEOFF BENNETT: Welcome to the "News Hour."

President Trump's sweeping tariffs remain in place# tonight for now after a day of legal ..

But the ultimate fate of many of those tariffs# is unclear after a series of court decisions.

AMNA NAWAZ: Two federal courts, including# a special Court of International Trade,## ruled against many of the president's# tariffs, saying they were illegal and that## the president did not have the specific# authority that he cited to impose them.

But those decisions are on hold after# a separate appellate court issued a## stay this afternoon.

That court told# the administration and a coalition of## states and businesses who sued that it# would hear arguments early next month.

Stephanie Sy begins with this report.

KAROLINE LEAVITT, White House Press Secretary:# Last night, the Trump administration faced another example of judicial overreach.

STEPHANIE SY: Today, the Trump# administration is fighting back## after a federal court ruling that# could upend its tariff policy.

KAROLINE LEAVITT: America cannot function# if President Trump or any other president,## for that matter, has their sensitive diplomatic or# trade negotiations railroaded by activist judges.

STEPHANIE SY: Foreign leaders, on the# other hand, applauded the decision.

MARK CARNEY, Canadian Prime Minister: The# government welcomes yesterday's decision by## the U.S. Court of International Trade, which# is consistent with Canada's longstanding## position that the U.S. IEEPA tariffs# were unlawful, as well as unjustified.

HE YONGQIAN, Chinese Commerce Ministry# Spokesperson (through translator): China## urges the U.S. to heed the rational voices of# the international .. stakeholders, and to completely eliminate the# unilateral imposition of additional tariffs.

STEPHANIE SY: Generally, the president has# imposed tariffs in three main categories,## 10 percent tariffs on almost every country,# higher tariffs for Canada, Mexico and China, and## industry-specific tariffs, including an additional# 25 percent rate on steel, aluminum and cars.

Were it not for the circuit court's stay today,## last night's ruling would have blocked the# first two, in addition to tariffs Trump## had threatened to issue on dozens of other# countries, the U.S. has trade deficits with.

DONALD TRUMP, President of the United States: Our# country and its taxpayers have been ripped off.

STEPHANIE SY: Trump bypassed Congress# and implemented them by executive order,## arguing that he has the power to do so under the## 1977 International Emergency# Economic Powers Act, or IEEPA.

He justified this by saying the trade deficit# and fentanyl crisis, which he blames on Mexico,## Canada and China, pose a national emergency.

But a# panel of judges on the U.S. Court of International## Trade appointed by Presidents Reagan, Obama# and Trump overruled the president last night,## writing the orders -- quote -- "exceed any# authority granted to the president by IEEPA."

It also says the orders on fentanyl don't deal# directly with the fight against drug trafficking,## but instead -- quote -- "aim to create# leverage to deal with those objectives."

National Economic Council Director# Kevin Hassett responded this morning.

KEVIN HASSETT, Director, National Economic# Council: The idea that the fentanyl crisis## in America is not an emergency is so# appalling to me that I'm sure that,## when we appeal, that this# decision will be overturned.

STEPHANIE SY: Today, the Circuit Court of Appeals# paused the Court of International Trade's ruling,## even while another federal# court ruled against the tariffs.

MARY LOVELY, Peterson Institute# for International Economics: This## certainly puts a bit of a snar.. STEPHANIE SY: Mary Lovely is a senior# fellow at the Peterson Institute for## International Economics.

She says# there are other ways the president## could still impose his tariffs# if the ruling stays in effect.

MARY LOVELY: This is an ongoing saga, and the# longer it goes, the more debilitating it is,## I think the more we risk turning# companies off from investing in the U.S. STEPHANIE SY: All this as revised# GDP numbers indicate the U.S. economy## shrank in the first quarter of 2025.

It# diminished at a 0.2 percent annual pace,## the first drop in three years, brought down by# a surge in imports, as U.S. companies hurried## to bring in foreign goods ahead of the new# tariffs, tariffs whose fate is now uncertain.

For the "PBS News Hour," I'm Stephanie Sy.