After Supreme Court ruling, US to stop collecting Trump’s emergency tariffs from tomorrow

The United States will stop collecting tariffs imposed under the International Emergency Economic Powers Act (IEEPA) from 12:01 a.m. EST (0501 GMT) on Tuesday, according to the US Customs and Border Protection (CBP). In a notice sent to shippers through its Cargo Systems Messaging Service, the agency said it would “de-activate all tariff codes associated with the US President Donald Trump’s prior IEEPA-related orders” from that time. The move comes more than three days after the US Supreme Court ruled that the duties were unlawful. Reuters reported that the court’s decision could open the door to large refund claims from importers. CBP did not explain why it continued to collect the tariffs at ports of entry in the days following the court’s ruling. Its message also did not set out any plan for refunds. The halt in collections coincides with President Trump’s decision to introduce a new 15% global tariff under a different legal authority. The new levy is intended to replace the IEEPA-based duties that were struck down by the court on Friday. CBP said the suspension applies only to the IEEPA tariffs and does not affect other measures imposed by the current president. These include tariffs introduced under Section 232 of the Trade Expansion Act, which covers national security grounds, and Section 301 of the Trade Act, which addresses unfair trade practices. “CBP will provide additional guidance to the trade community through CSMS messages as appropriate,” the agency said in its notice. The Supreme Court ruling puts more than $175 billion in US Treasury revenue at risk of being refunded. That figure is based on estimates by economists at the Penn Wharton Budget Model. Their analysis, using what they described as a ground-up forecasting model, found that the IEEPA tariffs had been generating more than $500 million a day in gross revenue. It remains unclear how and when any refunds would be processed, or how the new 15% tariff will affect trade flows in the coming weeks. (With inputs from Reuters)