Tariff Sh*ckwave: US To Stop Collecting Unlawful Duties After Court Ruling
The United States Customs and Border Protection (CBP) agency will cease collecting tariffs deemed illegal by the Supreme Court, effective Tuesday—over three days after the court’s ruling.
On Friday, the US Supreme Court struck down President Donald Trump’s tariffs in a 6-3 decision, ruling that he lacked the authority to impose import duties using emergency powers.
CBP informed shippers via its Cargo Systems Messaging Service that all tariff codes linked to Trump’s emergency powers orders would be deactivated starting Tuesday morning.
The timing coincides with Trump’s announcement of a new 15 per cent global tariff, implemented under a separate legal authority to replace the previously struck-down measures.
The agency has not explained why it continued collecting the tariffs at US ports for several days following the Supreme Court’s decision. It also has not clarified whether importers will be eligible for refunds.
CBP emphasized that halting these specific collections does not affect other tariffs imposed by Trump, including those enacted under national security or unfair trade practice laws.
“CBP will provide further guidance to the trade community through CSMS messages as appropriate,” the agency stated.
Economists at the Penn Wharton Budget Model estimate that the emergency powers tariffs generated over $133 billion for the US Treasury, bringing in more than $500 million per day before the Supreme Court intervened.
Currently, these funds remain in legal limbo as companies await clarification on whether they can recover tariffs collected without proper authority, as declared by the nation’s highest court.