U.S. Customs and Border Protection will stop collecting tariffs levied under the 1977 International Emergency Economic Powers Act at 12 a.m. Tuesday, it says in a bulletin.
On Friday, the Supreme Court ruled those tariffs were unconstitutional. An angry President Donald J. Trump immediately fired back, saying he would enact a global, 10% tariff using other statutes. On Saturday, the president posted on Truth Social, ratcheting that up to 15%, though there is no comment as to when the executive order, signed Friday night, will be updated.
As it stands, that order exempts certain products, including passenger vehicles; certain light trucks; certain medium- and heavy-duty vehicles, buses; and parts thereof. It also carves out energy and energy products and natural resources that cannot be grown, mined or produced in the U.S.; and items exempt pursuant to the U.S. Mexico-Canada Agreement.
The stoppage of IEEPA tariff collections coincides with when the executive order takes effect. According to the order and to Section 122, the tariffs cannot exceed 150 days unless extended by Congress.
Trade experts believe the President's decision to immediately respond with new tariffs weaken the likelihood of a freight boom in the aftermath of the court ruling.
"I would say that the impact of the Supreme Court arguably on trucking is now pretty much negligible, as there is no time for any sort of pull forward," FTR's Avery Vise told CCJ (owned by Fusable, parent company of Trucks, Parts, Service).
