A federal appeals court on Thursday prolonged its suspension of a lower court decision that challenged the Trump administration’s 10% worldwide tariff policy implemented under Section 122 of the Trade Act, maintaining the collection of these duties from three importers who had previously secured relief from the charges.
The Federal Circuit appeals court’s action permits the United States to maintain tariff collection from the three importers during the government’s appeal process.
On May 7, the U.S. trade court issued a ruling against these new tariffs, though it did not establish a broad prohibition on their collection.
The three importers affected by the court decision include two small businesses and the state of Washington, which had paid tariffs on goods purchased by the University of Washington.
Following the Trump administration’s appeal, the appeals court on May 12 temporarily restored tariff collection for the three importers who had prevailed in the lower court.
The 10% worldwide tariff was established in February, following the U.S. Supreme Court’s decision to overturn the majority of tariffs that the Trump administration had implemented in 2025.
This 10% global tariff is set to conclude in July, unless Congress chooses to extend it.
The current global tariffs were established under Section 122 of the Trade Act of 1974.
