Tariffs Struck Down On Appeal, But To Remain In Effect Pending High Court Review

President Trump’s sweeping reciprocal tariffs levied on countries around the globe—including important exporters of wine and spirits to the U.S.—were struck down by the U.S. Court of Appeals for the Federal Circuit late last week, but they will remain in effect at least until October 14, pending a potential review of the matter by the U.S. Supreme Court.

The appeals court found that the president overstepped by ordering the tariffs under the authority of the International Emergency Economic Powers Act (IEEPA), and affirmed that the power to impose tariffs lies broadly with Congress. The administration is expected to appeal the issue to the Supreme Court, and to seek to keep the tariffs in effect until that appeal is heard, with arguments potentially taking place early next year.

“For the wine industry, the risk of tariffs remains real,” said Ben Aneff, president of trade group The U.S. Wine Trade Alliance. “While the IEEPA statute the president used to enact the current tariffs is weak and its implementation may be overturned by the Supreme Court, ultimately we do not believe the courts will save our industry from tariff threats. The president has a series of other tools he may use to enact tariffs, should he wish to do so, making it imperative that we show the executive branch how important imported wine is for the U.S. economy.—Daniel Marsteller

Tagged : Tariffs, U.S. Wine Trade Alliance

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