Lawrence Hurley

WASHINGTON (Reuters] – On Monday, the U.S. Supreme Court refused to hear a challenge filed by steel firms to President Donald Trump’s decision in 2018 to double steel import tariffs from Turkey due to national security concerns. The move was defended by President Joe Biden.

A appeal from steel importers, including Transpacific Steel LLC and Jordan International Company, as well as Turkish producer Borusan Mannesmann (and its U.S. affiliate) – was denied by the justices.

Trump increased the tariff from 25 percent to 50 percent. Steel companies argued that this exceeded his authority. The $54 million in collective duties they had paid to the U.S. government was sought back by the steel companies.

The Trade Expansion Act, a federal law that gives the president authority to set tariffs for national security purposes is at issue. The law permits a president, through the Trade Expansion Act, to establish tariffs with the intent of safeguarding national security.

They cited a clause in the law which allows a president to impose tariffs within a period of 90 days after it has been reviewed by the U.S. Commerce secretary. This report was filed in January 2018 and Trump declared the initial 25% tariff in March within the time limit of 90 days. However, Trump’s August 2018 decision to increase tariffs to 50 percent was challenged by the opposition and declared it illegal.

Trump reduced the tariff to 25% in May 2019.

Trump was defended by the Biden Administration, who took control of the case.

They sued the U.S. Court of International Trade in January 2019. The court ruled in favor of the challengers the following year. In 2021, the U.S. Court of Appeals of the Federal Circuit reversed that trade court’s decision. The companies appealed to the Supreme Court.