The U.S. government can continue collecting the 10% worldwide tariff it imposed

National Court News

The U.S. government can continue collecting the 10% worldwide tariff it imposed

The U.S. government can continue collecting the 10% worldwide tariff it imposed in February while legal challenges to the levies continue to work their way through the courts, a federal court ruled Thursday.

The Court of Appeals for the Federal Circuit in Washington decision handed a procedural win to the Trump administration, concluding that its case was “likely to succeed on the merits.”

At issue are temporary 10% worldwide tariffs President Donald Trump imposed after the Supreme Court in February struck down even broader double-digit tariffs the president had imposed last year on almost every country on Earth. The new tariffs, invoked under Section 122 of the Trade Act of 1974, are set to expire July 24.

Section 122, which had never been used to justify import taxes before, allows the president to impose worldwide tariffs of up to 15% for 150 days, after which congressional approval is needed to extend them.

Section 122 is aimed at what it calls “fundamental international payments problems.” In dispute is whether that wording covers trade deficits — the gap between what the U.S. sells other countries and what it buys from them — as the Trump administration contends.

A split three-judge panel of the specialized Court of International Trade in New York last month found the 10% global tariffs were illegal after small businesses sued to stop them. The trade court ruled 2-1 that Trump overstepped the tariff power that Congress had delegated to the president under the law. The tariffs are “invalid” and “unauthorized by law,” the majority wrote.

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USCIS Issues Clarifying Guidance on NAFTA TN Status Eligibility for Economists

U.S. Citizenship and Immigration Services (USCIS) announced today that it is clarifying policy guidance (PDF, 71 KB) on the specific work activities its officers should consider when determining whether an individual qualifies for TN nonimmigrant status as an economist.

The North American Free Trade Agreement (NAFTA) TN nonimmigrant status allows qualified Canadian and Mexican citizens to temporarily enter the U.S. to engage in specific professional activities, including the occupation of economist. The agreement, however, does not define the term economist, resulting in inconsistent decisions on whether certain analysts and financial professionals qualify for TN status as economists.

TN nonimmigrant status is intended to allow a limited number of professionals and specialists to work temporarily in certain specifically identified occupations in the United States. This updated guidance provides USCIS officers with a specific definition of one such category – economists – allowing them to adjudicate applications in a way that complies with the intent of the agreement. This policy update clarifies that professional economists requesting TN status must engage primarily in activities consistent with the profession of an economist. Individuals who work primarily in other occupations related to the field of economics — such as financial analysts, marketing analysts, and market research analysts — are not eligible for classification as a TN economist.