Appeals court pauses decision that invalidated Trump's tariffs
After a US federal court had ruled on Wednesday that most of the tariffs imposed by Trump were invalid, ...
Commerzbank Economic Research
05/30/2025
On Wednesday, a US federal court had blocked most of the tariffs imposed by Trump. However, an appeals court has now paused this ruling "until further notice". No decision has yet been made on the matter itself.
Specifically, the tariffs imposed by Trump on the basis of the International Emergency Economic Powers Act (IEEPA) of 1977 had been stopped on Wednesday by the United States Court of International Trade. This applies to the “reciprocal” tariffs (currently 10% across the board) and the tariffs imposed on Canada, Mexico, and China related to the fentanyl crisis. The United States Court of International Trade stated that Trump had exceeded his emergency powers, noting in particular that the IEEPA was not intended to address trade or balance of payments crises. In the end, the US Supreme Court may even have to decide as the court of last resort. It could rule in Trump's favor. If not, Trump could try to enforce his tariff policy by other means.
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