ACMA Members Must Preserve Their Right to Protest After Court Blocks Reciprocal Tariffs, Administration Appeals
ACMA members should ensure that their right to protest duties paid under President Trump’s reciprocal tariff policy as well as tariffs responding to fentanyl imports and imports from Canada and Mexico are preserved prior to liquidation of entries. In a sweeping decision, the United States Court of International Trade struck down recent tariffs imposed under the International Emergency Economic Powers Act. The Trump Administration immediately filed an appeal with the Federal Circuit Court of Appeals, and is expected to ask the ruling to be paused. The ruling can be found here.
The court found two issues with the tariffs imposed under IEEPA. First, the court concluded that, in imposing these tariffs, the president exceeded the authority granted to him by Congress in IEEPA. Second, the court determined that the imposition of tariffs was unlawful because the tariffs do not “deal with” the threat identified by the President. The court concludes by stating that tariff orders be vacated and permanently enjoined for all importers.
Sectoral tariffs on steel, aluminum, and autos are not impacted by this ruling, as they were imposed under a different statute.
Collection of duties applied under IEEPA began in February. February entries will be liquidated in December, but the deadline to file a protest on those first entries must be filed by mid-June. A two-minute podcast explaining the legal decision and the role of Customs protests can be found here.
Please contact Dan Neumann with any questions.