Court hears challenge to Section 232 tariffs

January 21, 2019

Court hears challenge to Section 232 tariffs

A three-judge panel of the U.S. Court of International Trade heard oral arguments in a lawsuit brought by the American Institute of International Steel (AIIS) and two of its member companies alleging that the Section 232 tariffs on steel and aluminum are unconstitutional based on the 1962 federal law used to impose the tariffs. President Trump used Section 232 of the Trade Expansion Act of 1962 to impose the tariffs for national security reasons. AIIS alleges that Section 232 should be found unconstitutional because the act is missing “any ‘intelligent principle’ limiting the president’s authority” since the U.S. constitution grants Congress the sole authority to set trade policy. The Court has not said when it will issue a ruling.

Senator Ron Johnson (R-WI) is preparing a letter and looking for additional support in the Senate to encourage the administration to eliminate the steel and aluminum tariffs. NAFEM is collecting examples for Senator Johnson that highlight the negative impact of these and the Chinese import tariffs on members’ businesses. If you are willing to share your company’s experience, contact Charlie Souhrada.

 

Categorized in: Taxes, Tariffs & Trade