Appeals Court Upholds Trump’s 10% Global Tariffs Pending Legal Battle

A federal appeals court in Washington has ruled that the Trump administration can continue enforcing a 10% global tariff during ongoing litigation, delivering a procedural victory to the government. The decision, issued on June 11, 2026, allows the tariffs to remain in place while the broader legal dispute over President Donald Trump’s use of Section 122 of the Trade Act of 1974 plays out. The court concluded that the U.S. government had made a “sufficient showing” that it is likely to prevail in the dispute, questioning the narrower interpretation of Section 122 adopted by a divided U.S. Court of International Trade panel in May. That panel had ruled the tariffs invalid, but the appeals court found its interpretation of “balance-of-payments deficits”—the legal basis for the tariffs—may have been too restrictive. The appeals court did not provide its own interpretation of Section 122 but signaled skepticism toward the trade court’s view that the term is limited to deficits measured by liquidity, official settlements, or basic balance. The case is expected to escalate to the Supreme Court, marking a continuation of the legal and political battle over Trump’s tariff authority. The tariffs were first imposed in February 2026 after the Supreme Court vacated earlier levies issued under the International Emergency Economic Powers Act. The government argued that blocking the tariffs during appeal would undermine the president’s economic agenda, complicate trade negotiations, and divert resources from processing refund claims for the earlier tariffs struck down by the Supreme Court. The appeals court’s order did not identify the judges involved.