Overview
- The Federal Circuit issued an administrative stay Tuesday that puts the trade court’s injunction on hold while it considers the government’s request for a full stay.
- A three-judge panel of the U.S. Court of International Trade ruled May 7 that the Section 122 tariff exceeded the 1974 law’s balance‑of‑payments standard but limited relief to two importers and Washington state.
- Most businesses must keep paying the 10% duty as Customs continues collection, with government and industry data pointing to roughly $8 billion collected in March from about 13 million entries by more than 170,000 importers.
- The administration argued that suspending the levy would derail talks with trading partners and trigger an import surge, and a senior Customs official warned that broad refunds or expanded injunctions would be unworkable right now.
- If higher courts uphold the CIT’s legal finding, companies could seek refunds through customs reliquidation processes that hinge on entry status and deadlines, and the tariff is set to expire July 24 unless Congress extends it.