A United States appeals court has sided with President Donald Trump in putting back the tariffs on his way out the door. This decision follows the US Court of International Trade declaring those tariffs illegal. The US Court of Appeals for the Federal Circuit answered that call from the White House. They stayed the order that struck down Trump’s tariffs, putting a wrench into international trade relationships at a crucial moment.
Here’s what the US Court of International Trade ruled against Trump on Wednesday. They argued that in doing so, he had overstepped his authority by unilaterally imposing the – very unofficial – “Liberation Day” tariffs on the majority of US trading partners. The ruling was a huge victory that immediately stopped the tariffs. This involved imposing import tariffs on products imported from Canada, Mexico and China. The court offered no explanation or rationale for its decision to suspend enforcement of the original ruling.
The appeals court’s ruling opens the door for a temporary reinstatement of these tariffs while the case plays out in additional legal proceedings. The plaintiffs will have to respond by June 5. The administration has until June 9 to file its reply. This timeline shows that the fight over the legality of these tariffs is just beginning.
Trump slapped tariffs on them without doing the work of investigating their merit. He accused Canada, Mexico, and China of helping to bring fentanyl into the U.S. The former president further maintained that the tariffs were justified to protect public health and safety through this action.
The current litigation has garnered the attention of a number of stakeholders. This includes American businesses that have been negatively impacted by the tariffs and our international trading partners. This just reopened a can of worms, though, as the economic effects of the tariffs and retaliatory steps by the countries harmed remain top of mind.
