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Federal Appeals Court Reinstates 10% Tariff Pending Legal Review

A federal appeals court has suspended a lower court's order blocking collection of the Trump administration's 10% tariff, allowing the government to continue collecting duties while legal challenges proceed. The Court of International Trade had ruled in May that the Section 122 tariff imposed earlier this year lacked statutory authority, but issued only a limited injunction protecting two importers and Washington state. The Court of Appeals for the Federal Circuit lifted that relief order Thursday, finding the government likely to succeed in its appeal. The court questioned whether the lower tribunal correctly interpreted Section 122's legal requirements. The decision allows tariff collection to continue across most importers while appellate litigation proceeds over the levy's lawfulness.