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US Appeals Court Extends Stay of Ruling Invalidating Trump’s Global 10% Tariff

Source
YM Lee

Summary

  • The US Court of Appeals for the Federal Circuit said it will keep in place through late July a stay of enforcement of a ruling that found President Donald Trump’s global 10%% tariff unlawful.
  • The appeals court said the lower court may have erred in its interpretation of the law involving the balance-of-payments deficit, and that the federal government could suffer irreparable harm without a stay.
  • The decision applies only to two importers — including spice importer Burlap & Barrel and toy importer Basic Fun — as well as Washington state.

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Photo: Shutterstock
Photo: Shutterstock

A temporary stay of a trade court ruling that found President Donald Trump’s global 10% tariff unlawful will remain in place through late July.

The US Court of Appeals for the Federal Circuit ruled on June 11 that enforcement of a US Court of International Trade decision will remain paused. That lower-court ruling found the Trump administration’s global 10% tariff, imposed in February under Section 122 of US trade law, to be unlawful.

The appeals court had previously ordered a temporary stay of the lower-court ruling on May 12.

It said the lower court may have erred in its interpretation of the law related to the balance-of-payments deficit. The appeals court also found that the federal government could suffer irreparable harm without a stay.

The decision applies only to the original plaintiffs in the case — spice importer Burlap & Barrel, toy importer Basic Fun, and Washington state.

While the lower court found the global 10% tariff unlawful, it did not issue a broader order barring the tariff’s application beyond the plaintiffs.

Kim Soo-young, Hankyung.com reporter, swimmingk@hankyung.com

YM Lee

YM Lee

20min@bloomingbit.ioCrypto Chatterbox_ tlg@Bloomingbit_YMLEE
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