After months of volatility triggered by President Trump’s tariff measures, global trade tensions are beginning to cool. The sweeping “Liberty Day” duties announced earlier this year have since been tempered by a series of deals with the UK, the European Union, and other key partners.
The most notable shift has come in the US-China relationship. What once looked like a spiraling trade war has eased into another 90-day suspension of the harshest tariffs, giving both sides breathing room.
Still, not all countries have benefited equally. Imports from Brazil and India continue to face hefty tariffs of 50%, though overall the international trading environment has regained a measure of stability.
That balance, however, may not last. A forthcoming decision from the US Court of Appeals could fundamentally alter Trump’s trade agenda by invalidating recent tariff hikes and unwinding the agreements built on them.
Earlier in May, the US Court of International Trade ruled that Trump went beyond his legal powers when he relied on emergency authority to impose duties without congressional approval. The administration challenged that decision, and while the appeal has allowed tariffs to stay in place temporarily, the case is now in the hands of the Federal Circuit.
Arguments were heard on July 31st, with a ruling expected by late September – or possibly sooner. A decisive judgment against the administration, particularly a unanimous one, could prevent the case from reaching the Supreme Court, leaving the tariff program effectively dismantled.
While Trump could try to reintroduce tariffs through Congress, the political and procedural barriers would be formidable.
The outcome of this case holds enormous weight for global trade. Supply chains, pricing strategies, and trade flows could all be reshaped depending on how the courts rule. For now, Global Freight Services and other industry observers are watching closely for the decision that could reset US trade policy yet again.