Court Rules Trump's Universal Tariffs Illegal, but Duties Continue to Collect
The Court of International Trade ruled that President Trump's newest 10% universal tariffs are illegal, but most importers must continue paying the duties while the administration appeals the decision. It marks another legal setback for Trump's trade policy.
The Court Decision
The Court of International Trade on Thursday ruled that President Trump's newest round of tariffs were illegal — but the duties will keep collecting for most importers while the administration appeals. The ruling focuses on Trump's universal 10% tariff scheme that was designed to replace previous tariffs that had been struck down.
Legal Setback for Trade Policy
It is yet another legal setback for the White House's trade policy — this time ruling against the suite of tariffs that officials imposed to replace those struck down by the Supreme Court. The Trump administration has faced repeated court challenges to its aggressive tariff strategy, including tariffs on China, allies, and broad-based universal levies.
Implications for Importers
Despite the court's ruling that the tariffs are unlawful, the decision allows the government to continue collecting duties from most importers during the appeal process. This means businesses remain in a state of limbo, unable to get relief despite the court's determination that the tariffs exceed presidential authority.
Ongoing Trade Disputes
The case is one of several challenging Trump administration trade policies. The administration has signaled it intends to appeal, setting up further legal battles that could take months or years to resolve. Meanwhile, importers must continue operating under the challenged tariff regime.