The Court of International Trade has struck down the recent executive orders establishing tariffs, and has struck down the related tariffs.
At issue were the tariffs promulgated pursuant to the following Executive Orders:
- Executive Order 14257, Regulating Imports With a Reciprocal Tariff to Rectify Trade
Practices That Contribute to Large and Persistent Annual United States Goods Trade Deficits, 90
Fed. Reg. 15041 (Apr. 2, 2025). - Executive Order 14259, Amendment to Reciprocal Tariffs and Updated Duties as Applied to Low-Value Imports From the People’s Republic of China, 90 Fed. Reg. 15509 (Apr. 8, 2025)
- Executive Order 14266, Modifying Reciprocal Tariff Rates to Reflect Trading Partner Retaliation and
Alignment, 90 Fed. Reg. 15625 (Apr. 9, 2025). - Executive Order 14298, Modifying Reciprocal Tariff Rates To Reflect Discussions With the People’s Republic of China, 90 Fed. Reg. 21831 (May 12, 2025).
- The “Trafficking Tariffs” in Executive Orders 14193 (China), 14194 (Mexico), and 14195 (China).
The court held that the Worldwide and Retaliatory Tariff Orders exceeded any authority granted to the President by IEEPA to regulate importation by means of tariffs. The court also held that the Trafficking Tariffs failed because they do not deal with the threats set forth in those orders. The court vacated the challenged Tariff Orders and their operation has been permanently enjoined.
This order is likely to be appealed by the Administration. It is possible that the court of appeals may reinstate the tariffs pending appeal, so be cautious abut your import obligations.
Please note that tariffs based on other provisions of law – like the steel and aluminum tariffs which were based on section 232 investigations – were not affected by this ruling.