Appeals court lets Trump administration keep collecting tariffs while challenges continue

Key Points

• The U.S. Court of Appeals for the Federal Circuit ruled the Trump administration can continue collecting import tariffs while legal challenges proceed.
• The case covers 10% tariffs on almost all countries and higher levies on nations with U.S. trade deficits, as well as duties on China, Canada and Mexico tied to immigration and opioid concerns.
• A three-judge panel of the U.S. Court of International Trade had previously ruled that President Trump exceeded his authority under a 1977 emergency powers law when imposing the tariffs.
• Noting the matter’s “issues of exceptional importance,” the appeals court will expedite the case with arguments set for July 31.

WASHINGTON (AP) — A federal appeals court agreed Tuesday to let the government keep collecting President Donald Trump’s sweeping import taxes while challenges to his signature trade policy continue on appeal.

The decision by the U.S. Court of Appeals for the Federal Circuit extends a similar ruling it made after another federal court struck down the tariffs May 28, saying Trump had overstepped his authority. Noting that the challenges to Trump's tariffs raise "issues of exceptional importance,'' the appeals court said it would expedite the case and hear arguments July 31.

The case involves 10% tariffs the president imposed on almost every country in April and bigger ones he imposed and then suspended on countries with which the United States runs trade deficits. It also involves tariffs Trump plastered on imports from China, Canada and Mexico to pressure them to do more to stop the illegal flow of immigrants and synthetic opioids across the U.S. border.

In declaring the tariffs, Trump had invoked emergency powers under a 1977 law. But a three-judge panel of the U.S. Court of International Trade ruled he had exceeded his power.

The tariffs upended global trade, paralyzed businesses and spooked financial markets.