The US Supreme Court denied a request from two toy companies seeking to expedite their lawsuit against tariffs imposed by Trump's administration.
Supreme Court's Decision
On Friday, the US Supreme Court rejected a request from two toy manufacturers to speed up their lawsuit challenging the legality of the tariffs imposed by former President Donald Trump. This means the administration now has a full 30 days to respond, as the normal appeal timeline remains intact.
Impact of Tariffs on Business
Learning Resources and hand2mind argue that Trump had no legal right to impose tariffs under the International Emergency Economic Powers Act (IEEPA). They claimed the tariffs are wreaking havoc on businesses across the country and that delaying the issue in court is not an option. "In light of the tariffs’ massive impact on virtually every business and consumer across the nation, challenges to the IEEPA tariffs cannot await the normal appellate process," the companies stated in their court filing.
Inflation Predictions
Despite economists predicting rising prices, inflation in May only increased by 2.4% year-on-year, which was lower than expected. Federal Reserve Chair Jerome Powell stated that "price spikes so far are limited". He noted that only a few items, such as Chinese electronics, have increased in cost, while most goods have not changed due to inventory sold that arrived before the tariffs were in effect.
Trump's tariffs remain in place following the Supreme Court's refusal to expedite the process, raising concerns among businesses and economists who anticipate changes in inflation.
