WHAT’S THE LATEST

Update as of June 11: On June 10, the U.S. Court of Appeals for the Federal Circuit has extended its temporary stay of a trade court decision that found President Trump exceeded his powers in imposing certain tariffs. As a result, the tariffs will remain in effect while the appeals process continues.

The court is scheduled to hear arguments on July 31, indicating the current tariffs are likely to remain in effect for at least the next two months.

WHAT WE KNOW

  • May 28: The U.S. Court of International Trade ruled that President Trump didn’t have legal authority under the International Emergency Economic Powers Act (IEEPA) to impose a broad range of tariffs. 
  • May 29: The U.S. Court of Appeals for the Federal Circuit issued an immediate temporary stay of that ruling, allowing the tariffs to remain in effect during the appeal.
    • Scope of the Ruling:
      • 20% tariffs under the IEEPA Fentanyl Executive Order on goods of Chinese origin.
      • 25% tariffs under the IEEPA Executive Order on Canada or Mexico.
      • 10% country-specific tariff on IEEPA Reciprocal Tariffs announced on “Liberation Day."
    • Not in Scope:
      • Tariffs on autos, auto parts, steel and aluminum remain in place. These tariffs were enacted under Section 232 of the Trade Expansion Act and are governed by a separate legal framework not impacted by this ruling.
      • Section 301 tariffs implemented on products of Chinese origin during the first Trump Administration.
      • Those currently threatened, but not yet imposed, on pharmaceuticals, semiconductors and other critical products.

WHAT'S NEXT?

The appeals process is expected to extend over the coming months, creating a period of prolonged economic uncertainty for importers. SEKO’s Customs & Compliance Team is closely monitoring this situation and will provide updates as they arise.

Take Action: Schedule a free 30-minute consultation meeting with our team of experts today to explore how we can keep your supply chain moving smoothly.

If you have questions, please reach out to your SEKO representative, or email us at hello@sekologistics.com.