Trump’s tariffs are back and bring (once again) uncertainty to global eCommerce

In an unexpected judicial turn, the United States Federal Circuit Court of Appeals has temporarily reinstated former President Donald Trump’s ability to impose global tariffs after suspending a previous ruling, just a few hours earlier, which deemed them illegal. This decision reopens the debate about one of the former president’s most aggressive economic policies, with impacts that, inevitably, will affect international trade, prices, and certainly the eCommerce sector.

From blockage to reactivation in 24 hours

Yesterday, Thursday, we woke up to a ruling from the United States Court of International Trade (CIT) that declared the tariffs imposed by Trump under the International Emergency Economic Powers Act (IEEPA) unconstitutional. According to this court, there was no legal basis for imposing tariffs of 25% on products from Canada and Mexico, 20% on those from China, or for the so-called “reciprocal tariffs” applied at discretion to various countries worldwide during the so-called “Liberation Day” (yes, the one where Trump appeared in the White House with a gigantic board in his hands).

However, in less than 24 hours, the Court of Appeals has paused that ruling, temporarily restoring Trump’s ability to apply these taxes, requesting written arguments from both parties by early next month.

The Liberty Justice Center, representing the plaintiff companies, described the suspension as a “procedural step” and is confident in overturning the decision by arguing the “irreparable harm” these tariffs cause to their clients.

What is at stake?

For the eCommerce sector, the return of the tariffs implies a latent threat to the cost of imported products into the United States, particularly those from Asia, Mexico, and Canada, two key regions in the supply chain for many North American online stores.

• Platforms relying on Chinese suppliers or dropshipping from Asia could face significant cost increases. This includes Chinese online giants like the omnipresent Shein or Temu, but also numerous products from China that compete on cost in the U.S. Even Amazon was directly affected and had to rethink its Haul model.
• DTC brands that import products from Canada or Mexico may see their profit margins affected.
• The end consumer would also suffer, as these costs are passed on to retail prices.

But it does not only impact U.S. eCommerce. As we have seen since that unfortunate day in April when Trump announced his measures, all global eCommerce is at stake.

Additionally, Spanish companies marketing Chinese products in the U.S. will suffer particularly from the high tariffs imposed on China, forcing them to choose between raising prices or reducing margins, compromising the business’s profitability and operability. An increase in customs complexity and logistics costs is also expected.

Tariffs, butterfly effect, and global distrust: the impact of Trump’s trade policy

From his Truth Social network, Trump claimed that the original ruling “undermined presidential power.” The return of this protectionist narrative is not only an electoral symbol but also a source of volatility for markets and companies operating in a globalized environment, where regulatory stability is crucial for planning inventories, prices, and logistics operations.

In any case, the truth is that the recent tariff decisions driven by Donald Trump ignore the current interdependence of global supply chains. Imposing high taxes on components manufactured in China not only affects Asian exporters but also increases the cost of final products for American companies like Apple or Microsoft, for instance, whose production largely depends on key parts made in China.

This domino effect can raise global prices in sectors such as technology, both in the U.S. and international markets, due to the increased cost of basic components like chips, screens, or batteries. Assembling countries like India, Mexico, or Vietnam will also be affected by rising raw material costs.

This scenario highlights the fragility of the international economic balance and emphasizes the importance of regulatory stability and legal certainty to foster sustainable investment decisions. The ups and downs of Trump’s trade policy create uncertainty in the markets and push companies to rethink their logistics chains, with potential impacts on eCommerce, which might be forced to regionalize suppliers and diversify risks.

Surprisingly, Trump is choosing to ignore that legal stability is essential for the smooth functioning of the global economy, especially in sectors like international trade and eCommerce. It allows companies to plan long-term, invest with confidence, and operate with a controlled level of risk. When the rules of the game change abruptly, as happens with Trump’s tariff policies, uncertainty is generated, operating costs rise, and trade relations deteriorate. Furthermore, legal certainty protects the rights of corporations and consumers, fosters innovation, and facilitates digital expansion.

In a world as interconnected as today’s, regulatory consistency is as important as product competitiveness.

And now what?

The Court of Appeals has set a rapid review schedule, so new rulings are likely to be known in the coming weeks. In the meantime, importing companies and the digital retail sector must prepare for an uncertain environment. From a digital marketing and commerce perspective, this situation reinforces the need to:

• Diversify suppliers, seeking local or non-tariff-risk alternatives.
• Implement flexible pricing strategies to cushion the impact of potential increases.
• Commit to transparency in communication with the end customer, explaining possible changes in prices or delivery times.

Image: GPT Plus