A federal appeals court has supported President Donald Trump's Administration to continue applying the 10% global tax imposed by the Republican in February after the Supreme Court invalidated much of his previous tariff scheme.

The court on Thursday granted a temporary victory to the Trump Administration by allowing the fees to continue being collected while the legal process against these levies, applied under Section 122 of the Trade Act of 1974 and with a scheduled expiration date of the end of July, if they are not extended by Congress.

Legal battle over tariffs continues

In May, an International Trade Court panel in New York ruled 2-1 in favor of a lawsuit brought by small businesses, ruling that these new tariffs were “invalid” and “unauthorized by law,” finding that Trump had exceeded the tariff authority delegated by Congress.

Section 122, which until now had not been invoked to justify import taxes, gives the US president the ability to impose global tariffs of up to 15% for 150 days, after which approval from lawmakers is required to extend this deadline.

After the Supreme Court's setback, Trump threatened in February to raise the new tax on US trade partners to 15%, although so far he has not done so.

Liens will remain in effect while the litigation progresses

The Supreme Court ruled that the president did not have the authority to apply tariffs under the International Economic Emergency Powers Act (IEEPA) of 1977, the basis of much of the aggressive tariff policy launched by Trump since his return to power in January 2025 for a second term.

Last April, the US Government launched the process to reimburse some $166 billion illegally collected through tariffs annulled by the high court.

The Supreme Court's ruling affects the levies that Washington calls "reciprocal", imposed by the Republican with the aim of reducing the US trade deficit with its partners, in addition to the additional 25% tariffs on Mexico and Canada to pressure these countries to stop the flow of fentanyl.

This news has been tken from authentic news syndicates and agencies and only the wordings has been changed keeping the menaing intact. We have not done personal research yet and do not guarantee the complete genuinity and request you to verify from other sources too.