A US trade court panel based on three judges is set to review the legality of 10 percent global tariffs imposed by the Trump administration on Friday.
The hearing, set for 10 a.m. ET, is based on a legal challenge brought by a group of 24 Democratic-led states and two small businesses. The plaintiff contends that these new unjustified tariffs, which took effect on February 24, bypass previous US Supreme Court ruling.
The administration imposed the new tariffs under Section 122 of the Trade Act of 1974, allowing the president to impose 15 percent duties for up to 150 days on imports during “large and serious United States balance-of-payment deficits.” Moreover, these duties could be levied to prevent an imminent depreciation of the US dollar.
The current lawsuits are specific in scope as they do not challenge tariffs imposed under more conventional authority and the existing duties on steel, aluminum, and copper.