A U.S. trade court has overturned former President Donald Trump’s sweeping tariffs on global imports, offering some clarity after months of shipping disruptions—but also triggering new concerns for importers.
On Wednesday, the U.S. Court of International Trade ruled that Trump exceeded his authority by using emergency powers to impose a blanket 10% tariff on most trading partners and a proposed 145% tariff on imports from China. The ruling puts these measures on hold during a 90-day reprieve period agreed upon by the U.S. and China.
“The Worldwide and Retaliatory Tariff Orders exceed any authority granted to the President by IEEPA to regulate importation by means of tariffs,” the court wrote in its decision.
Although the ruling provides a temporary reset for shippers and importers, the likely appeal by the Trump administration adds continued uncertainty to U.S. trade policy. If the decision stands, it would resolve more than six months of unpredictability over U.S. tariffs and foreign retaliation.
Importers had been stockpiling cargo in anticipation of Trump’s possible re-election and his aggressive trade stance. But many pulled back after he announced the steep 145% tariff on April 9. On May 12, the U.S. and China agreed to a 90-day truce, reducing tariffs on Chinese goods to 30% during the negotiation period.
Despite the court’s ruling, shipping companies have warned of continued tight container capacity between Asia and the U.S. through June, as carriers work to restore service following a sharp decline in bookings from China. This comes just ahead of the annual peak shipping season, which typically begins in June and extends through August in preparation for year-end holidays.
Source: Joc.com