Dice, what happens after the sentence that declared the Trump rates illegal? What remains and what decays: questions and answers

What exactly is the Court of International Trade (cit) of the United States, who judged mutual duties illegal of the Trump Administration?
It is a federal court, created in 1980 based in New York, with national jurisdiction on customs duties; imports and exports; international trade issues, such as anti -dumping laws or safeguard measures; Actions against federal agencies, for example the Department of Commerce or the US International Trade Commission. The cit does not deal with disputes between private individuals, but disputes between commercial operators and the federal state or cases in which the legality of commercial policies is contested.

What is the effect of the sentence?
The sentence is executive. The Court ordered the immediate cancellation of the duties imposed pursuant to the International Emergency Economic Powers Act (IEPA) and requested the administration to issue the administrative orders necessary to implement the permanent injunction within 10 days. In practice, all the duties imposed by the US President decide by invoking the IEPA and the previous legislation returns.

What happens if Washigonon does not suspend the duties, as the sentence provides?
Risks the contempt of courtthat is, a violation of the judicial order. Unless the government obtains a suspension of the sentence pending the appeal.

What duties have been eliminated?
The Court invalidated the universal duty by 10% on almost all imports; Higher « mutual » duties on about 60 countries, with variable rates up to 50%; the duties of 25% on Canada and Mexico products, justified by concerns about immigration and drug trafficking; the duties of 20% on Chinese assets, linked to the Fentanyl crisis; The revocation of the Duty-Free treatment for low value shipments from China. Universal duties of 25% on steel, aluminum and cars, imposed through different laws (sections 232 and 301), remain in force.

Why has the CIT judged these duties illegal?
The Court established that The president has exceeded the limits of the Internazional Emergency Economic Powers Act (IEPA) of 1977. According to the law, extraordinary powers can be invoked only in the presence of « unusual and extraordinary threats ». The Court considered that incorrect commercial deficits and commercial practices did not constitute these threats. Furthermore, he said that the imposition of duties without the approval of the congress violates the separation of the powers provided for by the Constitution.

Who presented the cause at the cit?
The cause was placed by five small US companies, including Your selectionsand from twelve states guided by the Democrats, including Oregon, New York and Illinois. The case was supported by the Liberty Justice Center and by the Professor of Law Ilya Somin.

What are the implications of the sentence?
The decision represents a significant brake on the use of presidential powers to impose duties without the approval of the congress. Although the Trump administration has announced its intention to appeal, the sentence could influence future commercial policies and strengthen the role of congress in the regulation of international trade.

Can the administration continue to impose the duties pending appeal?
The court gave Trump administration 10 days to end the duties. The administration presented the Court for a motion for the suspension of the sentence with which he asks to continue to collect them, pending the appeal, committing himself to return the sums in the event of defeat.

Can importers ask for reimbursement for already paid duties?
Ilya Somin explained to the courier yesterday that there are unclear technical complexities and advises companies to consult specialized lawyers: « As far as I understand, in these 10 days the Trump administration can continue to impose duties even if they should then return them in the future. If they then obtain a suspension of the sentence pending the appeal, during the period in which this suspension is in force they will be able to continue to collect the duties (which if they lose on appeal, they should then return). If the suspension of the sentence is denied, after 10 days they must stop collecting the duties and return the sums already collected ».

Can Trump still use the IEPA or other laws to impose other duties?
It is not excluded, even if the verdict suggests that the IEPA can be invoked only for limited scope.

What are the times to define the question, after the government’s appeal against the sentence?
Somin believes that the appeal process can be potentially faster than usual and end in « a few weeks, but it can also take more, the Court of Appeal has great discretion on the times ». Those who lose our appeal will then turn to the Supreme Court, which will decide whether or not to face the case. « My expectation – and I could be wrong – is that they will move more quickly than normal because of the huge impact on the world economy, but what is fast for them is slow for the normal world ».

What is the agreement already signed between the USA and the United Kingdom?
The agreement is not automatically canceled, but the legal base on which it was founded has failed. Parts of the intensity therefore could be ineffective or to be reviewed. So diplomatic consultations between Washington and London are likely. However, everything will also depend on the outcome of the appeal presented by the USA administration.

What now happens to negotiations between the European Union and the US?
The negotiations are likely not stopped. Indeed, space opens for a more constructive comparison, without the sword of Damocles of the deadline of 9 July. Even if the US appeal variable remains.