WASHINGTON — On Tuesday, a federal appeals court gave the go-ahead for the U.S. government to continue collecting extensive import taxes imposed by President Donald Trump, despite ongoing legal challenges against the trade policies. The U.S. Court of Appeals for the Federal Circuit decided to extend a previous ruling after a federal court invalidated the tariffs on May 28, claiming Trump had exceeded his authority. Recognizing the “issues of exceptional importance” concerning the tariffs, the appeals court committed to fast-tracking the case, scheduling hearings for July 31.
The contentious tariffs encompass a 10% levy imposed by the president in April on nearly every trading partner, and include even larger tariffs that were temporarily suspended. These were primarily aimed at countries with which the U.S. experiences trade deficits. Additionally, Trump imposed duties on goods from China, Canada, and Mexico as a tactic to pressure these countries into taking actions against the illegal flow of immigrants and synthetic opioids into the U.S.
In invoking a 1977 law to declare the tariffs, Trump cited emergency powers. However, this move was contested by a three-judge panel from the U.S. Court of International Trade, which ruled that such actions overstepped legal boundaries. The imposition of these tariffs resulted in significant disruptions to global trade, creating paralysis among businesses and causing alarm across financial markets.