by WorldTribune Staff / 247 Real News May 29, 2025
A federal appeals court on Thursday granted the Trump Administration’s petition to temporarily pause the U.S. Court of International Trade’s ruling that struck down most of President Donald Trump’s tariffs.
The judgment issued Wednesday night by the U.S. Court of International Trade is “temporarily stayed until further notice while this court considers the motions papers,” the U.S. Court of Appeals for the Federal Circuit said in its order.
President Donald Trump shows his newly signed executive order on reciprocal tariffs on April 2. / Video ImageThe Trump administration had earlier told the appeals court that it would seek “emergency relief” from the Supreme Court as soon as Friday if the tariff ruling was not quickly put on pause.
Analysts at two major Wall Street banks said on Thursday that trade court’s ruling which blocked Trump’s steepest tariffs was not likely to impact the levies.
The analysts say Trump has several alternative strategies that he can use to impose tariffs after the U.S. Court of International Trade on Wednesday said federal law does not grant the president “unbounded authority” to tax imports from nations around the world.
The Wednesday ruling had given Trump 10 days to roll back the tariffs.
“The tariff levels that we had yesterday are probably going to be the tariff levels that we have tomorrow, because there are so many different authorities the administration can reach into to put it back together,” Michael Zezas, Morgan Stanley’s global head of fixed income and thematic research, told Bloomberg TV on Thursday.
Trump’s power to “raise and escalate — it might be a little bit slower moving, but it is still there,” he added.
Alec Phillips, chief U.S. political economist at Goldman Sachs, wrote in a note to clients that the ruling “represents a setback for the administration’s tariff plans and increases uncertainty but might not change the final outcome for most major U.S. trading partners.”
While negotiations with trading partners continue, the Trump Administration is able to “stitch together that authority on the other tariffs that went away — so all the same leverage is effectively there during the negotiation,” Zezas said.
Trump could use Section 232 of the Trade Expansion Act, which allows the president to impose tariffs if an investigation finds excessive foreign imports pose a national security risk. These taxes are already in place on steel, aluminum and auto imports, which alone add 7.6 percentage points, the analysts said.
Trump could also use Section 122 of the Trade Act of 1974, which deals with “large and persistent” trade balance surpluses, to swiftly impose tariffs without the formal investigation requirement.
“The administration could quickly replace the 10% across-the-board tariff with a similar tariff of up to 15% under Sec. 122,” Goldman analysts said.
However, these tariffs would only last up to 150 days, at which point they would require Congressional approval.
The White House could launch Section 301 investigations on major trading partners, which allow the president to take action against foreign nations that are restricting or burdening U.S. commerce.
But this is another longer route, likely to take several weeks at a minimum, Goldman warned.
Trump also has the ability to use Section 338, a Great Depression-era rule that gives the president authority to levy tariffs of up to 50% on foreign nations that exhibit discriminatory behavior. This measure has not been used before, Goldman analysts noted.
Trump tariffs reinstated; previous court ruling was seen unlikely to impact president’s levies added by Editor Two on May 29, 2025
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