US Appeals Court Temporarily Reinstates ‘Trump Tariffs’ After One Day

Source
Korea Economic Daily

Summary

  • A US federal appeals court has decided to temporarily reinstate President Trump’s reciprocal tariff measures during the appellate hearing period.
  • As a result, the Trump administration can continue to impose tariffs until the appellate court issues its decision.
  • Meanwhile, product-specific tariffs such as those on steel, aluminum, and automobiles will continue to remain in effect as before.

The United States federal appeals court has decided to temporarily reinstate President Donald Trump's reciprocal tariff measures during the appellate hearing period, which had been halted by the lower court.

According to Reuters on the 29th (local time), the appeals court in Washington, D.C. ordered the trial court, the United States Court of International Trade, to temporarily suspend the enforcement of its ruling from the previous day that invalidated President Trump’s reciprocal tariffs, among other measures. This came as the Trump administration’s emergency request to stay the effectiveness of the lower court's decision was granted in response to their objection.

Reuters reported that the appeals court issued this order without providing any opinion or reasoning. As a result, the Trump administration will be able to continue imposing tariffs until a decision is reached on appeal.

The United States Court of International Trade accepted the plaintiffs’ request to nullify and prohibit the implementation of tariffs imposed by President Trump in response to synthetic opioid fentanyl issues on Canada, Mexico, and China (ranging from 10% to 25%), as well as the reciprocal tariffs announced on the 2nd of last month on virtually all countries worldwide.

The tariffs halted by the lower court were all imposed based on the International Emergency Economic Powers Act (IEEPA). The court determined that President Trump could not be seen as having been delegated unlimited authority under IEEPA to impose tariffs on goods from all countries worldwide.

However, tariffs imposed by President Trump based on Article 232 of the Trade Expansion Act, such as those on steel, aluminum, and automobiles, are unaffected and remain in force.

Ko Jeong-sam, Hankyung.com reporter jsk@hankyung.com

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Korea Economic Daily

hankyung@bloomingbit.ioThe Korea Economic Daily Global is a digital media where latest news on Korean companies, industries, and financial markets.
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