The Trump administration has recently made several trade policy and tariff litigation announcements affecting companies importing goods into the United States and downstream buyers: (1) the Department of Justice appealed the Court of International Trade (CIT)’s “universal” IEEPA refund order and submitted a filing to the CIT announcing that only unliquidated entries and entries within 90 days post-liquidation would be processed for refunds through the Consolidated Administration and Processing of Entries (CAPE) system; (2) the U.S. Trade Representative (USTR) announced new tariff proposals pursuant to its Section 301 investigation into 59 countries and the EU for forced labor violations; (3) President Trump issued a presidential proclamation modifying Section 232 tariffs on aluminum, steel, and copper; (4) the USTR has recommended additional Section 301 tariffs on products of Vietnam and Brazil; and (5) President Trump issued an executive order aimed at increasing customs enforcement.
1. DOJ Appeals CIT’s “Universal” IEEPA Refund Order
On June 3, 2026, DOJ filed an appeal to be heard by the Court of Appeals for the Federal Circuit, challenging Judge Richard K. Eaton’s April 2026 order requiring refunds of all IEEPA tariffs collected prior to the Supreme Court’s February 2026 decision overturning those duties.
The DOJ’s position is that CBP will continue processing refunds for unliquidated or nonfinal entries and those covered by importer-specific court orders but will resist any blanket mandate to refund duties on finally liquidated entries. Entries become “final” 90 days post-liquidation. DOJ asserts that the universal injunction exceeds the CIT’s jurisdiction under the Supreme Court’s 2025 decision in Trump v. CASA, Inc., which sharply restricted lower courts’ authority to issue nationwide injunctions.
After Judge Eaton issued an order requiring CBP Commissioner Rodney Scott to testify at a June 9 hearing, DOJ also sought a stay from the Court of Appeals for the Federal Circuit to block the order. In its petition for a writ of mandamus, DOJ asserted that Judge Eaton ordered the universal injunctions covering all entries subject to IEEPA duties even though importers had not filed motions for preliminary injunctive relief. According to Judge Eaton’s order, with “$166 billion involved,” Commissioner Scott’s testimony is necessary to determine whether the government intends to refund duties to both large and small importers.
Considerations for Importers
Importers with unliquidated entries or entries within 80 days post-liquidation may wish to continue filing for refunds through CAPE. Importers with entries that have reached final liquidation should monitor the protest period and consider whether individual suits at the CIT are appropriate to preserve potential refund rights, in light of DOJ’s stated position that finally liquidated entries will be refunded only pursuant to importer-specific court orders. Pursuant to 28 U.S.C. 1581(i) and 28 U.S.C. § 2636(i), importers have two years from liquidation to file suit with the CIT.
2. USTR Announces New Section 301 Forced Labor Tariff Proposals
On June 2, 2026, USTR announced new tariff proposals pursuant to its Trade Act of 1974 Section 301 investigation into forced labor violations.
According to the announcement, the additional proposed tariffs fall into two categories: those countries that have already imposed forced labor import prohibitions and those that have not. For countries that have such regulations in place, the administration has proposed an additional 10% tariff. Those countries include: the EU, UK, Argentina, Bangladesh, Canada, Cambodia, Ecuador, El Salvador, Guatemala, Indonesia, Malaysia, Mexico, Pakistan, and Taiwan. For the other 46 countries under investigation, the administration has proposed an additional 12.5 % tariff.
A number of proposed tariff exceptions have been identified, including for:
- USMCA-compliant goods of Canada or Mexico;
- All goods subject to section 232 tariffs
- Central America: Dominican Republic FTA compliant textiles and apparel;
- Certain produce and beef;
- Oil, gas, coal, and metal ores;
- Aircraft components;
- Chemicals; and
Public comments are due by July 6, 2026, and public hearings are scheduled for July 7, 2026. Section 232
3. Proclamation: Further Adjustments to Aluminum, Steel, and Copper Tariffs
On June 1, 2026, President Trump issued a proclamation further modifying the Section 232 tariff regimes on aluminum, steel, and copper imports established under Proclamations 9704, 9705, 10962, and 11021. Key changes are effective June 8, 2026, and include the following:
Expansion of the Reduced 15% Duty Rate
The category of derivative products subject to the temporarily reduced 15% ad valorem duty under Proclamation 11021 has been expanded to include:
- Agricultural equipment; and
- Certain heating, ventilation, and air conditioning (HVAC) systems and components predominantly for residential use.
Temporary Modification for Mobile Industrial Equipment and Machinery
Effective June 8, 2026, through Dec. 31, 2027, mobile industrial equipment and machinery listed in Annex I-C will be subject to a modified duty structure:
- Base rate: 25% ad valorem (unless a lower rate applies).
- Products of certain jurisdictions (Argentina, Ecuador, El Salvador, Guatemala, Japan, Republic of Korea, Liechtenstein, Switzerland, Taiwan, the United Kingdom, and EU member states): rate determined by reference to the Column 1 Duty Rate, with a combined floor of 15% (or 0% additional Section 232 duty if the Column 1 rate is already 15% or higher).
- S.-melted/poured/smelted/cast content: a 10% rate applies to derivative articles whose aluminum content is composed entirely of U.S.-smelted-and-cast aluminum or whose steel content is composed entirely of U.S.-melted-and-poured steel.
- USMCA-qualifying Canadian and Mexican products: 25% applies only to non-U.S. content, with a 15% effective duty floor.
Newly Covered Derivative Products
Aluminum lithographic plates and steel racks are now included within the derivative product coverage of Proclamation 11021.
Modified U.S.-Content Threshold
The threshold for products to qualify as made “entirely” from American aluminum, steel, or copper has been reduced from 95% to 85% by weight. This change may enable a broader range of importers to enter derivative products free of Section 232 duties.
4. Section 301 Announcements: Vietnam and Brazil
Vietnam (May 29, 2026): Following Vietnam’s designation as a Priority Foreign Country in the 2026 Special 301 Report, USTR initiated a Section 301 investigation into Vietnam’s intellectual property protection and enforcement practices. Upon completion, USTR will determine, in consultation with President Trump, whether responsive action is warranted. USTR is accepting public comments through July 2, 2026.
Brazil (June 1, 2026): USTR determined that Brazil’s acts, policies, and practices relating to digital trade, electronic payment services, preferential tariffs, anti-corruption enforcement, intellectual property protection, ethanol market access, and illegal deforestation are unreasonable and burden U.S. commerce, making them actionable under Section 301. USTR has proposed a 25% tariff on all goods imported from Brazil, subject to product exclusions, and is soliciting public comment.
The proposed duties include significant exclusions for: petroleum, coal, coffee, spices, beef, orange juice, nuts, aircraft and parts, and goods already subject to Section 232 duties.
Key dates for the Brazil proceeding
- June 22, 2026: Deadline to request to appear at the public hearing.
- July 1, 2026: Written comments due.
- July 6, 2026: USTR public hearing.
- July 15, 2026: Statutory deadline for responsive action.
Key Takeaway: Companies with exposure to Vietnamese or Brazilian supply chains may wish to consider participating in the public comment and hearing processes. Additionally, based on the timeline, the additional Section 301 tariffs may be imposed before the end of July.
5. Executive Order on Customs Enforcement
On June 3, 2026, President Trump issued an executive order directing an overhaul of U.S. customs enforcement aimed at curbing tariff evasion and trade fraud practices such as transshipment, undervaluation, and forced labor imports. The order directs the Department of Homeland Security and CBP, within 180 days, to tighten importer of record (IOR) eligibility by requiring greater U.S. nexus (including minimum domestic assets and higher bond requirements), expand disclosure obligations (including beneficial ownership and detailed supply-chain data), and impose stricter conditions on foreign IORs – such as limiting use of informal entry and requiring enhanced compliance mechanisms. It also establishes a new “good standing” requirement that could bar noncompliant importers from access to the U.S. market, increases audit and penalty exposure (including minimum penalty floors and reduced mitigation), and directs enhanced enforcement tools targeting misclassification, transshipment, and forced labor. The administration positions the measures as closing enforcement “loopholes” and strengthening revenue collection and national security.
The executive order directing increased enforcement follows the creation of the DOJ/Department of Homeland Security Trade Fraud Task Force in August 2025.
Conclusion
These developments collectively reflect the continuing volatility of the U.S. tariff and trade enforcement landscape. The IEEPA refund process, which had been progressing with numerous importers receiving refunds for entries under Phase 1, has been interrupted by the government’s appeal of CIT’s refund order. The new Section 232 modifications offer targeted relief for certain derivative product importers while expanding coverage in other respects. The Section 301 activity targeting 59 countries and the EU on forced labor grounds, and Vietnam and Brazil on intellectual property protection and other issues, indicates that the administration intends to continue using Section 301 as a significant tool for trade enforcement and tariff actions, with the potential for increased duty exposure for importers.