An injunction brought forward by a US trade court to block US President Donald Trump’s global tariff hikes has been temporarily overturned.
A federal appeals court reinstated the tariffs after an appeal was filed by the White House against the Court of International Trade’s ruling on 29 May.
The United States Court of Appeals stated that it was pausing the lower court's ruling to “consider the government's appeal”, according to Reuters.
It follows a three-judge panel from the Court of International Trade, based in New York, deeming the tariffs “illegal”.
The court added that Trump had “exceeded his authority” in making them.
Several businesses had filed lawsuits against the tariffs, which the companies argued had impacted their trading.
"The court does not pass upon the wisdom or likely effectiveness of the President's use of tariffs as leverage," the Court of International Trade said in a statement seen by Reuters.
“That use is impermissible not because it is unwise or ineffective, but because [federal law] does not allow it."
The US Government must respond to the permanent injunction within ten days.
However, shortly after the Court of International Trade’s announcement, the White House filed for an appeal against the ruling.
"It is not for unelected judges to decide how to properly address a national emergency,” a statement issued by the White House read.
Trump’s so-called ‘Liberation Day’ taxes came into effect in April 2025, imposing a 10% tariff on all countries.
He then issued “individualised” higher tariffs on the countries the US has the largest trade deficits.
The most scathing of these individualised tariffs was aimed at China, which experienced a total tax hike of 145%.
Vietnam saw a 46% increase, while Japan, South Africa and Taiwan rates are expected to jump by 24%, 30% and 32% respectively.
The UK and China would go on to strike deals to ease Trump’s tariff hikes.
A 90-day pause on levies between the US and China was agreed following talks in Geneva, Switzerland (10 to 11 May).
Scott Bessent, the US Treasury Secretary, said Trump’s so-called ‘Liberation Day’ taxes have dropped to 10% for China – down from 145%.
On top of a prior 20% tax imposed on China following Trump’s inauguration in January 2025, this meant the world’s second-largest market’s tariffs stood at 30%.
China, in turn, agreed to reduce its retaliatory tariffs of 125% to 10% for exports from America.
It is unclear what will happen as a result of the US trade court’s ruling on the global market, which has been impacting industries across the globe.
This includes beauty, with brands and manufacturers scrambling to control the situation by increasing the prices of beauty goods.
e.l.f. Beauty was the latest brand to raise prices in response to Trump’s global tariff hikes.
Skin care brand Naturium, meanwhile, is also raising prices on its goods in the US and the UK from 1 August.
Earlier in May, Glow Recipe joined the growing roster of brands upping product costs.
The Inkey List also raised prices on its products in the US in May.