A U.S. appeals court allows Trump’s global tariffs to remain while legal battles continue, keeping import duties in place despite a lower court ruling.
Temporary Reprieve for Trump Tariffs Amid Legal Scrutiny
Former President’s Tariffs Temporarily Upheld
Former U.S. President Donald Trump has secured a temporary legal victory in his effort to maintain sweeping global tariffs. On Thursday, a federal appeals court approved a request from the Trump administration to pause a lower court’s ruling that found the tariffs unlawful. The judgment allows the tariffs to remain in effect as legal proceedings continue, marking a significant, albeit interim, win for the former president’s trade policy legacy.
Challenge to Presidential Trade Authority
The lower court ruling, issued Wednesday by the U.S. Court of International Trade, concluded that Trump had overstepped his executive powers when he imposed broad import taxes under the International Emergency Economic Powers Act (IEEPA) of 1977. These tariffs, levied on goods from China, Mexico, Canada, and other nations, were justified by the administration as necessary to curb illicit fentanyl smuggling and address broader trade imbalances.
Appeals Court Grants Stay
In response to the lower court decision, the White House filed an appeal, arguing that the judiciary had no role in shaping foreign or economic policy. The appeals court granted a temporary stay, allowing the contested tariffs to remain in place pending further review. A follow-up hearing is scheduled for June 5, setting the stage for continued courtroom debate over the limits of presidential authority on trade.
Impact on Businesses and Global Trade
The ongoing uncertainty has left U.S. businesses, particularly small importers, navigating a volatile trade landscape. While tariffs on cars, steel, and aluminum—imposed under a separate statute—remain untouched by the rulings, other blanket duties face legal jeopardy. Entrepreneurs like Kara Dyer, owner of Story Time Toys, expressed cautious optimism but emphasized the difficulty of planning amid shifting policies.
White House Eyes Supreme Court Showdown
With multiple legal challenges underway, the dispute is expected to reach the Supreme Court. Trump and his advisers, including Peter Navarro, have indicated readiness to reintroduce tariffs through alternate legal avenues, such as Section 301 of the Trade Act of 1974 or the rarely used Section 338 from 1930. Legal experts are divided: some warn of executive overreach, while others believe courts may continue deferring to the presidency on trade matters.
Long-Term Implications for U.S. Trade Policy
The case could redefine how far a president can go in imposing unilateral trade measures without Congressional oversight. For now, Trump’s tariffs remain intact, but the legal and political battles surrounding them are far from over. As the courts deliberate, business leaders, lawmakers, and global trade partners watch closely, anticipating a decision that could reshape U.S. trade governance for years to come.