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Appeals Court Reinstates Trump’s 10% Global Tariffs — But the Legal Battle Is Far From Over
A federal appeals court restored President Trump’s 10 percent global tariff Tuesday, temporarily pausing a lower court ruling that had struck them down just days earlier — keeping the duties in place while the administration’s appeal works its way through the courts.
The U.S. Court of Appeals temporarily paused the Court of International Trade’s ruling against the administration’s 10% global tariff under Section 122 of the Trade Act, keeping the tariffs in place for importers who had won a reprieve from the duties. The stay was granted Tuesday morning. Just The News
The full legal backstory is worth understanding. The Supreme Court struck down the bulk of Trump’s original sweeping tariffs earlier this year. The same day, the administration pivoted to Section 122 — a never-before-used provision of the Trade Act of 1974 that allows a president to impose temporary tariffs of up to 15 percent for up to 150 days to address “large and serious” balance-of-payments deficits, without congressional approval. WisPolitics
Last Thursday, the Court of International Trade struck those down too, ruling 2-1 that the administration had failed to demonstrate the balance-of-payments justification Congress required when it wrote the law. “The presidential proclamation identifies no ‘large and serious United States balance-of-payments deficits’ as Congress understood that phrase,” the majority wrote. Yahoo!
The tariffs are currently set to expire July 24 regardless of the court outcome — the 150-day clock is running. The administration has signaled it already has a “Plan C” in the form of new Section 301 country-specific investigations already underway, and is expected to enact replacement tariffs before the Section 122 duties expire. Yahoo!
Tuesday’s appeals court stay means the 10% tariffs are back in effect for now — but the constitutional question of whether the president can impose broad universal tariffs without explicit congressional authorization remains unresolved and heading toward a definitive ruling.
Sources: Reuters / U.S. News | Axios | CNN Business | NPR | Townhall