Trump’s Tariffs Have Their Day In Court

Not even a full month after the implementation of reciprocal tariffs, a U.S. court of appeals determined that many of Trump’s tariffs are illegal in a 7-4 ruling. Let’s take a look at what this decision means for the U.S.’s current tariff policy and how importers will be affected. 

How Did We Get Here?

On April 2nd, 2025, president Trump invoked the International Emergency Economic Powers Act (IEEPA) as a means of implementing his tariff policy. A 10% baseline tariff went into effect on April 5th, while reciprocal tariffs started on August 7th. 

On August 29th, a U.S. appeals court for the federal circuit in Washington DC ruled that tariffs imposed using the IEEPA are illegal. 

Specifically, the court ruled the president does have the legal authority to impose narrow tariffs, like the ones on steel and aluminum, but that he overstepped with global tariffs on imports. 

Although the IEEPA does allow the president to take a wide range of actions when responding to a crisis, it doesn’t say anything related to tariffs. 

The court is allowing the tariffs to stay in effect until October 14th. This will give the Trump administration time to file an appeal with the Supreme Court. 

What Does the Ruling Mean for Importers?

For the time being, importers will still have to pay the reciprocal tariffs on their goods. This makes importing more expensive for businesses. 

If the Trump administration doesn’t appeal the ruling to the Supreme Court by October 14th, the tariffs could be removed. The same outcome could occur if the Supreme Court declines to take the case or if they uphold the ruling of the appeals court. 

Should tariffs be struck down, the federal government might have to refund businesses and other importers that paid the tax when they were in effect. According to Customs and Border Protection (CBP), they’ve collected more than $72 billion in IEEPA tariffs.

Unfortunately, consumers who already absorbed these expenses won’t be so lucky. 

R+L Global Logistics Is On Top of Tariffs

Tariffs have been difficult for importers and businesses to keep up with in 2025. Here at R+L Global Logistics, we keep a close eye on the changes affecting the logistics industry in the U.S. and abroad. 

This allows us to provide all our customers with the most relevant information they need to make informed decisions about their imports. Our company also provides a wide array of international and domestic logistics services. This includes anything from customs clearance, to truckload shipping. 

Our breadth of services makes us an essential partner for businesses across the United States.