Trump tariffs can stay in place for now, appeals court rules

US President Donald Trump can continue to collect import duties for the time being, an appeals court has ruled, one day after a trade decision deemed most of his worldwide tariffs to be unlawful. A federal appeals court accepted a request from the White House to briefly halt the lower court’s ruling, which determined that Trump had exceeded his authority by implementing the duties.

The US Court of International Trade’s ruling on Wednesday angered Trump officials, who labeled it a case of judicial overreach.

A coalition of states and small businesses contested the policies that are central to Trump’s agenda and have disrupted the global economic framework. In its appeal, the Trump administration argued that the ruling given by the trade court the previous day had wrongfully challenged the president and posed a risk of undoing months of intense trade negotiations.

“The political branches, not courts, make foreign policy and chart economic policy,” it said in the filing.

Shortly before Thursday’s tariff reprieve from the appeals court, White House spokesperson Karoline Leavitt told a press briefing: “America cannot function if President Trump, or any other president, for that matter, has their sensitive diplomatic or trade negotiations railroaded by activist judges.”

A New York trade court’s ruling voids Trump’s tariffs on goods from China, Mexico, and Canada, citing lack of congressional input. Appeals court allows tariffs temporarily; another court found presidential overreach.

Peter Navarro indicated that tariffs will continue regardless of court outcomes. Current tariffs on cars, steel, and aluminum remain intact, with potential expansion to sectors like semiconductors. Legal experts see mixed prospects for appeal. Business owners express cautious optimism but desire clarity on future tariffs due to ongoing uncertainty impacting their planning. The situation may escalate to the Supreme Court.