CBP wasn't required to make a scope referral to the Commerce Department in its antidumping duty evasion case against importer Vanguard Trading Co., since CBP properly exercised its authority in determining that Vanguard's products were under the scope of the relevant AD order, the Court of International Trade held in a decision made public May 27.
The District Court for the District of Columbia struck down all tariff action taken under the International Emergency Economic Powers Act a day after the Court of International Trade did the same. However, Judge Rudolph Contreras went farther than the trade court, holding on May 29 that IEEPA categorically doesn't include the power to impose tariffs.
The U.S. Court of Appeals for the Federal Circuit on May 29 stayed the Court of International Trade's decision to vacate all trade action taken by President Donald Trump under the International Emergency and Economic Powers Act while the appellate court considers the government's emergency stay motion of the trade court's ruling. Yesterday, the trade court vacated all of Trump's executive orders imposing the reciprocal tariffs and tariffs on China, Canada and Mexico to combat the flow of fentanyl. The U.S. immediately filled for a stay of the decision at CIT and the Federal Circuit, arguing that such a ruling would "hamstring" U.S. foreign policy.
The Court of International Trade on May 28 vacated and permanently enjoined all tariffs so far issued by President Donald Trump under the International Emergency Economic Powers Act. Judges Gary Katzmann, Timothy Reif and Jane Restani held that the reciprocal tariffs and the tariffs on China, Canada and Mexico, which were imposed to address the flow of fentanyl, fall outside the authority IEEPA grants to the president.
Petitioner Aluminum Association Trade Enforcement Working Group told the Court of International Trade on May 20 that it would be making arguments in its aluminum foil case on the basis of the recently decided solar cell cases (see 2505160045, 2505190059 and 2505190054) (Hanon Systems Alabama Corp. v. United States, CIT # 24-00013).
The U.S. Court of Appeals for the Federal Circuit on May 23 extended a stay in an antidumping duty case after the Court of International Trade settled a related lawsuit. Judge Timothy Dyk noted that the parties told the court that, if no party files an appeal in the related case, the present case before CAFC will be withdrawn. As a result, Dyk extended the stay and said the parties have until seven days after June 16 to tell the court how they plan to proceed (Bioparques de Occidente v. United States, Fed. Cir. # 23-2109).
The U.S. filed another defense of tariff action taken under the International Emergency Economic Powers Act last week at the Court of International Trade, more fulsomely embracing the notion that the president needs tariff-setting authority under IEEPA to address a host of foreign policy issues. Opposing a group of 11 importers' motion for judgment against the reciprocal tariffs and IEEPA tariffs on China, the government argued that "the success of the Nation" in "navigating and addressing a range of extremely consequential threats" is "built off the dispatch and unitary nature of the executive, girded by necessary tools," including IEEPA tariffs (Princess Awesome v. CBP, CIT # 25-00078).
The government has 10 days to issue orders implementing the Court of International Trade’s May 28 permanent injunction shutting down International Emergency Economic Powers Act tariffs on China, Canada and Mexico, as well as the 10% and country-specific IEEPA reciprocal tariffs, according to a judgment issued by the court alongside its opinion. The government has already filed an appeal of the decision.
The U.S. District Court for the District of Columbia on May 27 heard arguments concerning the government's motion to transfer a case challenging International Emergency Economic Powers Act tariffs to the Court of International Trade and two importers' bid for a preliminary injunction against the tariffs. Judge Rudolph Contreras asked the government about what remedy the court could impose should it find for the plaintiffs and about the merits of the importers' claim that IEEPA doesn't provide for tariffs (Learning Resources, Inc. v. Donald J. Trump, D. D.C. # 25-01248).
The Court of International Trade upheld CBP's finding that importer Vanguard Trading evaded the antidumping duty order on Chinese quartz countertops, in a decision made public May 27. Judge Timothy Reif held that CBP wasn't required to make a covered merchandise referral to the Commerce Department under the statute, since CBP determined under its own authority that Vanguard's goods were covered products. Reif also said CBP wasn't required to stay the evasion proceeding after Vanguard filed a formal scope inquiry, noting that such a position would let an importer unilaterally achieve a "pause" in an evasion proceeding by filing a separate scope request with Commerce -- a position that is "plainly contrary" to the evasion statute's "legislative history." Reif then concluded that the evasion determination wasn't arbitrary or capricious.