The U.S. Court of Appeals for the Federal Circuit ruled on August 29, 2025, in a 7–4 decision that President Trump’s sweeping IEEPA tariffs exceeded executive authority. While the International Emergency Economic Powers Act (IEEPA) grants the president emergency powers, the court clarified it does not permit the imposition of tariffs — a constitutional power reserved for Congress. The decision upholds a lower court ruling invalidating the tariffs, however, the tariffs, which range from 10-41 percent on each country, remain in effect as legal challenges continue.
The ruling has been stayed until October 14, 2025, giving the administration time to appeal to the U.S. Supreme Court. Solicitor General D. John Sauer has requested expedited review, which if granted, could lead to arguments potentially scheduled as early as November. The high court’s decision will have far-reaching implications for trade policy and the limits of presidential authority in economic emergencies.
For manufacturers and importers, the stakes are immediate and substantial. The federal government had collected roughly $72 billion under the IEEPA tariffs by mid-August. If the Supreme Court upholds the lower courts’ rulings, thousands of importers will likely seek refunds for tariffs paid. The president has other trade laws on which he can rely to impose other tariffs or seek Congressional authority should the Court rule against the Trump administration.
The Federal Circuit’s decision underscores the judiciary’s role in maintaining the constitutional balance of power. While IEEPA provides the president with broad authority to respond to national emergencies, the court emphasized that such powers do not extend to levying taxes or tariffs — a responsibility that remains firmly within Congress’s domain. The outcome of these challenges do not impact the Section 232 steel, aluminum, copper and auto tariffs, as the Supreme Court previously held that the president does have the authority under that separate law to impose tariffs.
USTR Expands Section 232 Tariffs to Cover 407 Additional Derivative Products
The Office of the U.S. Trade Representative (USTR) recently announced an expansion of the Section 232 steel and aluminum tariffs to cover 407 new tariff lines of derivative articles. These additions apply to downstream products that are manufactured from steel and aluminum, such as fasteners, molds, stamping dies, hardware, tubing, and other fabricated goods. The move significantly broadens the scope of products subject to the national security tariffs originally imposed in 2018.
Effective August 18, 2025, these products—ranging from heavy machinery to household items—will have the steel and aluminum content subject to a 50% tariff, with the non-steel or aluminum subject to the country-specific IEEPA reciprocal tariffs, which range from 10-41 percent.
USTR added the 407 HTS lines following the first round of a formal inclusion process that evaluated trade data and industry feedback of specific derivative products to ensure consistency with the original national security objectives of the Section 232 tariffs. The inclusion process was initiated following President Trump’s February 2025 proclamations, directing the Department of Commerce to establish a formal procedure for adding derivative products to the Section 232 tariffs. The Bureau of Industry and Security (BIS) opened the first application window in May 2025, allowing U.S. manufacturers and industry associations to request the addition of specific products. These applications were subject to public comment, with BIS then making final determinations.
The newly covered products span various sectors and Harmonized Tariff Schedule (HTS) chapters, including metalforming dies (HTS 8207.30.62), molds for steel ingots (HTS 8454.20.0010), casting machines (HTS 8454.30.00); rolls for metalrolling mills (HTS 8455.30.00); machining center for working metal (HTS 8457.10.00); transmission camshafts and crankshafts (HTS 8483.10.1010); among others. Despite the wide range of goods included, BIS rejected 60 subheadings due to existing investigations under Section 232 or other trade laws, indicating that these items may be revisited in future inclusion processes.
BIS has established a recurring inclusion process with three annual application windows: May, September, and January. The current inclusion request window will close on September 15, while the next window is scheduled to open in the beginning of January 2026.
Section 232 Investigation Launched into Wind Turbine Imports
The U.S. Department of Commerce has opened a new Section 232 investigation to determine whether imports of wind turbines threaten to impair national security. Announced in late August, the inquiry follows petitions filed by domestic manufacturers who argue that growing reliance on foreign-made turbines and components has placed the U.S. renewable energy supply chain at risk. Section 232 of the Trade Expansion Act authorizes the administration to impose trade remedies—including tariffs, quotas, or other restrictions—if imports are found to undermine the nation’s security interests.
The investigation will assess not only complete wind turbines but also critical parts such as blades, nacelles, towers, and gearboxes. U.S. manufacturers contend that heavy import penetration has undercut domestic production capacity, creating vulnerabilities for both energy infrastructure and defense-related manufacturing capabilities. Supporters of the inquiry point to the strategic role of wind energy in the nation’s transition to a more resilient grid, while raising concerns about dependence on overseas suppliers, particularly in Asia and Europe.
As with past Section 232 reviews of steel, aluminum, and other key materials, the Commerce Department has up to 270 days to complete its analysis and submit recommendations to the President.
EPA Sends Proposed WOTUS Rule to OIRA for Review
The Environmental Protection Agency (EPA) has submitted its latest proposed “Waters of the United States” (WOTUS) rule to the White House Office of Information and Regulatory Affairs (OIRA), the final step before publication in the Federal Register. The move signals that the administration is preparing to advance a new regulatory framework defining which streams, wetlands, and other water bodies fall under federal jurisdiction.
The definition of WOTUS has been one of the most hotly debated issues under the Clean Water Act for decades. Successive administrations have taken different approaches—ranging from the Obama-era rule that broadened federal oversight, to the Trump administration’s Navigable Waters Protection Rule, which narrowed the definition significantly. The Biden administration initially sought to revert to pre-2015 regulatory language while drafting a more durable standard.
The debate took a decisive turn in May 2023, when the Supreme Court issued its ruling in Sackett v. EPA. The Court rejected EPA’s long-standing “significant nexus” test and adopted a narrower definition, holding that only wetlands with a “continuous surface connection” to relatively permanent bodies of water fall under federal jurisdiction. This landmark decision substantially limited the scope of waters subject to federal permitting and forced EPA to revisit its regulatory approach. Industry groups have consistently urged EPA to adopt a clear, workable definition that balances environmental protections with regulatory predictability.
Once OIRA completes its review, the proposed rule will be published in the Federal Register, triggering a public comment period. Stakeholders across sectors—including manufacturing, construction, energy, and agriculture—are expected to provide input on the rule’s potential impacts. One Voice will continue monitoring developments closely to ensure manufacturers’ concerns are reflected in the final regulation.