Overview

• In oral arguments before an 11-judge Federal Circuit panel, multiple judges signaled broad doubt that the International Emergency Economic Powers Act empowers the president to impose sweeping tariffs without congressional approval.
• Circuit Judge Jimmie Reyna pointed out that IEEPA “doesn’t even mention tariffs,” challenging the administration’s claim that regulating importation includes setting customs duties.
• Justice Department attorney Brett Schumate defended the first-ever use of IEEPA for tariffs by citing Congress’s grant of broad emergency powers and historical precedents for executive trade measures.
• The 10% “Liberation Day” tariffs remain in effect under the Federal Circuit’s stay after a three-judge panel of the U.S. Court of International Trade found in May that the president exceeded his authority.
• No ruling is expected imminently and both sides are preparing for a likely Supreme Court review to determine the scope of executive tariff powers under the major questions doctrine.