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Trump tariff plan faces uncertain future as court battles intensify

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A federal appeals court paused a lower ruling blocking President Donald Trump’s sweeping tariffs, siding with the administration Thursday in a legal fight over the White House’s use of an emergency law to enact punishing import taxes. 

The back-and-forth injected more volatility into markets this week after several weeks of relative calm, and court observers and economists told Fox News Digital they do not expect the dust to settle any time soon. 

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Here’s what to know as this litigation continues to play out.

TRUMP DENOUNCES COURT’S ‘POLITICAL’ TARIFF DECISION, CALLS ON SUPREME COURT TO ACT QUICKLY

President Donald Trump holds a chart as he delivers remarks on reciprocal tariffs during an event in the Rose Garden in Washington, D.C., April 2, 2025.  (AFP via Getty Images)

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What’s happening now?

The U.S. Court of Appeals for the Federal Circuit temporarily stayed a lower court ruling Thursday that blocked two of Trump’s sweeping tariffs from taking force.

The ruling paused a decision by the U.S. Court of International Trade (CIT) allowing Trump to continue to enact the 10% baseline tariff and the so-called «reciprocal tariffs» that he announced April 2 under the International Emergency Economic Powers Act, or IEEPA.

It came one day after the U.S. Court of International Trade ruled unanimously to block the tariffs.

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Members of the three-judge panel who were appointed by Trump, former President Barack Obama and former President Ronald Reagan, ruled unanimously that Trump had overstepped his authority under IEEPA. They noted that, as commander in chief, Trump does not have «unbounded authority» to impose tariffs under the emergency law. 

Now, lawyers for the Trump administration and the plaintiffs are tasked with complying with a fast schedule with deadlines in both courts. Plaintiffs have until 5 p.m. Monday to file their response to the Court of International Trade, according to Jeffrey Schwab, senior counsel and director of litigation of the Liberty Justice Center, which represents five small businesses that sued the administration. 

trump tariffs

A Fox News graphic shows how countries have responded to President Donald Trump’s tariffs. (Fox News; Mandel Ngan/AFP via Getty Images)

The Court of Appeals for the Federal Circuit gave plaintiffs until Thursday to file a response to the stay and the Trump administration until June 9 to file a reply, Schwab told Fox News Digital in an interview. 

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The goal is to move expeditiously, and lawyers for the plaintiffs told Fox News they plan to file briefs to both courts before the deadlines to mitigate harm to their clients.

«Hopefully,» Schwab said, the quick action will allow the courts to issue rulings «more quickly than they otherwise would.»

What’s at stake?

The Trump administration praised the stay as a victory.

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The appellate court stay on the CIT ruling «is a positive development for America’s industries and workers,» White House spokesman Kush Desai said in a statement.

«The Trump administration remains committed to addressing our country’s national emergencies of drug trafficking and historic trade deficits with every legal authority conferred to the president in the Constitution and by Congress.»

But some economists warned that continuing to pursue the steep tariffs could backfire. 

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FEDERAL JUDGE BLOCKS 5 TRUMP TARIFF EXECUTIVE ORDERS

A visibly concerned trader holds a tablet and rubs his eye on the floor of the New York Stock Exchange, with colorful stock tickers and monitors flashing behind him.

Traders work on the floor of the New York Stock Exchange March 28, 2025, in New York City. (Spencer Platt/Getty Images)

The bottom line for the Trump administration «is that they need to get back to a place [where] they are using these huge reciprocal tariffs and all of that as a negotiating tactic,» William Cline, an economist and senior fellow emeritus at the Peterson Institute for International Economics, said in an interview. 

Cline noted that this had been the framework laid out earlier by Treasury Secretary Scott Bessent, who had embraced the tariffs as more of an opening salvo for future trade talks, including between the U.S. and China. 

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«I think the thing to keep in mind there is that Trump and Vance have this view that tariffs are beautiful because they will restore America’s Rust Belt jobs and that they’ll collect money while they’re doing it, which will contribute to fiscal growth,» said Cline, the former deputy managing director and chief economist of the Institute of International Finance.

«Those are both fantasies.»

‘AMERICAN HERO’ OR ‘FAILURE’: ELON MUSK’S DOGE DEPARTURE DIVIDES CAPITOL HILL

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What happens now?

Plaintiffs and the Trump administration wait. But whether that wait is a good or bad thing depends on who is asked.

Economists noted that the longer the court process takes, the more uncertainty is injected into markets. This could slow economic growth and hurt consumers. 

For the U.S. small business owners that have sued Trump over the tariffs, it could risk potentially irreparable harm.

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«Some of the harm has already taken place. And the longer it goes on, the worse it is,» said Schwab. 

Supreme Court

A woman under a purple umbrella walks past the Supreme Court Feb. 28, 2024, in Washington.  (AP Photo/Jacquelyn Martin)

The White House said it will take its tariff fight to the Supreme Court if necessary. But it’s unclear if the high court would choose to take up the case.

The challenge comes at a time when Trump’s relationship with the judiciary has come under increasing strain, which could make the high court wary to take on such a politically charged case. 

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Lawyers for the plaintiffs described the case as «very likely» to be appealed to the Supreme Court, but it’s unclear whether it will move to review it.

«It’s possible that because the case is before the Federal Circuit Court of Appeals, which essentially applies to the country, unlike specific appellate courts, which have certain districts, that the Supreme Court might be OK with whatever the Federal Circuit decides and then not take the case,» Schwab said. 

For now, the burden of proof shifts to the government, which must convince the court it will suffer «irreparable harm» if the injunction remains in place, a high legal standard the Trump administration must meet.

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Beyond that, Schwab said, the court will weigh a balancing test. If both sides claim irreparable harm, the justices will ask, «Who is irreparably harmed more?

«And I think it’s fair to say that our clients are going to be more irreparably harmed than the United States federal government. Because our clients might not exist, and the United States federal government is certainly going to exist.»

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El jefe del Ejército de Israel habló sobre una posible ofensiva total contra Hamas: “Estamos lidiando con asuntos de vida o muerte”

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El Jefe del Estado Mayor de las FDI, Teniente General Eyal Zamir, habla durante una evaluación de seguridad el 7 de agosto de 2025. (Fuerzas de Defensa de Israel)

El jefe del Estado Mayor del Ejército israelí, Eyal Zamir, aseguró este jueves que la bautizada como operación Carros de Gedeón, la fase de la ofensiva israelí en Gaza que comenzó a mediados de mayo con el objetivo de ampliar el control militar del enclave palestino, está llegando a su fin tras lograr sus objetivos.

Las declaraciones de Zamir llegan en medio de una creciente tensión entre la cúpula militar y el primer ministro Benjamin Netanyahu por los planes del mandatario para tomar el control total de la Franja de Gaza, una propuesta que el Ejército rechaza categóricamente.

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“Hemos cumplido e incluso superado los objetivos de la operación, y continuamos actuando para garantizar la seguridad a largo plazo de las comunidades del sur”, declaró Zamir durante una evaluación de seguridad matutina con la alta dirigencia militar, según comunicó el Ejército israelí.

El alto oficial militar añadió que las fuerzas armadas tienen “la capacidad de crear una nueva realidad de seguridad junto a la frontera, mientras mantenemos la presión sobre el enemigo. No volveremos a limitar nuestras respuestas. Eliminaremos las amenazas en su fase inicial”.

El ministro de Defensa, Israel
El ministro de Defensa, Israel Katz; el primer ministro, Benjamin Netanyahu, y el jefe del Estado Mayor de las Fuerzas Armadas israelíes, Eyal Zamir. (Europa Press)

En un mensaje que parece dirigido directamente al gobierno, Zamir también defendió el derecho del Ejército a expresar su opinión profesional, incluso cuando esta difiera de las posiciones políticas. “Una cultura de desacuerdo es una parte inseparable de la historia del pueblo de Israel; es un componente vital de la cultura organizacional de las FDI, tanto interna como externamente”, declaró.

“Seguiremos expresando nuestras posiciones sin miedo, de manera sustancial, independiente y profesional”, agregó el jefe militar, en comentarios que fueron publicados horas antes de una reunión del gabinete de seguridad prevista para esta tarde, donde se discutirán los planes de ocupación de Gaza.

Fuentes en la Oficina del Primer Ministro han sugerido que si Zamir se opone al plan de ocupar Gaza, puede renunciar, según múltiples reportes que indican repetidos choques entre el jefe militar y el gabinete en días recientes.

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Los manifestantes llevan guantes durante
Los manifestantes llevan guantes durante una protesta para exigir la liberación inmediata de los rehenes retenidos en Gaza desde el ataque del 7 de octubre de 2023 contra Israel por parte de Hamás y el fin de la guerra, en Tel Aviv. (REUTERS/Ammar Awad)

Las fuerzas armadas israelíes son reacias a operar en lugares donde se encuentran retenidos los rehenes por temor a que los grupo terroristas palestinos en Gaza los ejecuten ante el avance de las tropas, como ya ocurrió a finales de agosto de 2024 con seis cautivos, cuyos cadáveres fueron hallados el 1 de septiembre.

Según la cadena pública israelí Kan, la cúpula militar cree además que ocupar toda Gaza provocará un aumento considerable de las bajas israelíes.

“No estamos lidiando con teoría; estamos lidiando con asuntos de vida o muerte, con la defensa del estado, y lo hacemos mientras miramos directamente a los ojos de nuestros soldados y los ciudadanos del país”, enfatizó Zamir durante la evaluación matutina. “Continuaremos actuando con responsabilidad, integridad y determinación, con solo el bien del estado y su seguridad ante nuestros ojos”.

El líder opositor israelí Yair
El líder opositor israelí Yair Lapid se reúne con el líder de la mayoría del Senado estadounidense, Chuck Schumer, el martes 9 de abril de 2024, en el Capitolio, Washington. (AP Foto/Jacquelyn Martin, Archivo)

La resistencia a los planes de Netanyahu no se limita al ámbito militar. El líder de la oposición israelí, Yair Lapid, advirtió este miércoles al primer ministro que la ocupación total de la Franja de Gaza “es una pésima idea”.

Tras reunirse con Netanyahu en Jerusalén, Lapid afirmó que le dijo: “Ocupar Gaza es una pésima idea. La mayoría de la gente no te apoya; al pueblo de Israel no le interesa esta guerra. Pagaremos un alto precio por ello”.

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Lapid propuso una alternativa: “En lugar de una ocupación y una anexión de Gaza innecesarias, necesitamos atraer a Egipto a Gaza, para que haya otro gobierno que la gestione en vez de nosotros, y después centrarnos en lo importante, que es eliminar a Hamas”.

A pesar de la oposición militar y política, Netanyahu tiene previsto reunir este jueves por la tarde a su gabinete de seguridad para aprobar sus planes para tomar el control de toda la Franja.

El martes, tras una reunión de tres horas entre Netanyahu y Zamir, la oficina del primer ministro declaró que “las FDI están preparadas para implementar cualquier decisión tomada por el gabinete político y de seguridad”.

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Zamir reafirmó el compromiso del Ejército con sus objetivos fundamentales: “Tenemos la intención de derrotar y colapsar a Hamas. Continuaremos actuando con nuestros rehenes en mente, y haremos todo para traerlos a casa”.



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4 key Senate seats Republicans aim to flip in 2026 midterms to expand their majority

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Republican Sen. Tim Scott’s goal in next year’s midterm elections is not only to defend the GOP’s 53-47 margin in the Senate, but to expand the majority.

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Scott, the conservative senator from South Carolina, told Fox News Digital soon after taking over late last year as chair of the National Republican Senatorial Committee (NRSC) that he aimed to increase the GOP’s control in the chamber to at least 55 seats.

And he’s standing by his goal.

«The bottom line is, I believe that we can defend our current seats while adding at least two more seats to our numbers,» the NRSC chair told Fox News Digital earlier this year.

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THIS REPUBLICAN JUST JUMPED INTO BATTLEGROUND GEORGIA’S HIGH-PROFILE SENATE RACE 

Sen. Tim Scott spoke to a South Carolina GOP delegation breakfast on Wednesday (pictured speaking on the RNC stage). (Getty Images)

Senate Republicans enjoyed a favorable map in the 2024 cycle as they flipped four seats from blue to red to win back the majority.

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But the party in power—clearly the Republicans right now—traditionally faces political headwinds in the midterm elections. Nevertheless, a current read of the 2026 map indicates the GOP may be able to go on offense in some key states.

In battleground Georgia, which President Donald Trump narrowly carried in last year’s White House race, Republicans view first-term Sen. Jon Ossoff as the most vulnerable Democrat incumbent up for re-election next year.

TRUMP-BACKED RNC CHAIR JUMPS INTO THE NATION’S ‘MARQUEE’ SENATE RACE

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They’re also targeting battleground Michigan, where Democratic Sen. Gary Peters is retiring at the end of next year, and swing state New Hampshire, where longtime Democratic Sen. Jeanne Shaheen decided against seeking a fourth six-year term in the Senate.

Also on the NRSC’s target list is blue-leaning Minnesota, where Democratic Sen. Tina Smith isn’t running for re-election.

At the top of their list is Ossoff, who narrowly won election to the Senate in a January 2021 runoff contest.

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Democratic Sen. Jon Ossoff of Georgia was first elected in 2021. He is running for re-election in the 2026 midterms.

Republicans view Sen. Jon Ossoff as the most vulnerable Democrat running for re-election in the 2026 midterm elections. (AP)

But Ossoff is off to a very hot fundraising start, and a GOP primary in Georgia between Reps. Mike Collins and Buddy Carter, and former college and professional football coach Derek Dooley, is starting to turn combustible.

DNC CHAIR TELLS FOX NEWS DIGITAL DEMOCRATS HAVE HIT ‘ROCK BOTTOM’ – HERE’S HIS PLAN TO REBOUND

Republicans are also confident they can flip Michigan, another battleground Trump narrowly carried last November.

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Former Rep. Mike Rogers, the 2024 GOP Senate nominee who lost last year’s race by a razor-thin margin, has at this point cleared the Republican primary field, thanks in great part to Trump’s endorsement.

Mike Rogers is backed by President Donald Trump as he runs for the Senate in Michigan

Former Rep. Mike Rogers, a Republican Senate candidate in Michigan for a second straight election cycle, is interviewed by Fox New Digital in Grand Rapids, Michigan on April 2, 2024. (Paul Steinhauser – Fox News )

Democrats, meanwhile, have a very competitive primary on their hands. The primary race includes three well-known Democrats: Rep. Haley Stevens, state Sen. Mallory McMorrow and former gubernatorial candidate Abdul El-Sayed, who enjoys the backing of progressive champion Sen. Bernie Sanders of Vermont.

With Shaheen, who made history as the first woman in the nation’s history to win election as a governor and a senator, out of the running in New Hampshire, the GOP is hoping to win a Senate election in the Granite State for the first time in 16 years.

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Democratic Sen. Jeanne Shaheen of New Hampshire isn't seeking reelection in 2026

Democratic Sen. Jeanne Shaheen of New Hampshire, seen at a policy event in Concord, N.H. on Oct. 22, 2024, isn’t seeking a fourth term in the Senate when she’s up for re-election in 2026. (AP Photo/Steven Senne)

They’re encouraged by the gains Trump made in New Hampshire in last year’s election, as he improved on his showing from four years earlier and came close to carrying the state.

But four-term Rep. Chris Pappas’ announcement in early April that he would run to succeed Shaheen has cleared the Democratic primary field, as of now, of any potential rivals for the party’s Senate nomination.

Meanwhile, a Republican primary in the state—where the GOP hasn’t won a Senate race in 15 years—is heating up between former Sen. Scott Brown and state Sen. Dan Innis, with the possibility of more candidates entering the race.

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In Minnesota, the leading candidates in the Democratic primary to succeed Smith are Lt. Gov. Peggy Flanagan and Rep. Angie Craig.

Former professional basketball player Royce White, who won the 2024 Senate nomination in Minnesota, and former Navy SEAL Adam Schwarze are currently running in the GOP primary. But another Republican Senate hopeful may soon enter the field.

While Republicans will work to defy political history in next year’s midterms, they point to the Democratic Party’s current brand issues.

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«Democrats have historically low approval ratings because candidates like Jon Ossoff and Chris Pappas keep prioritizing radical policies like men in women’s sports, protecting sanctuary cities for criminal illegal aliens, and raising taxes on working families,» NRSC communications director Joanna Rodriguez argued in a statement to Fox News.

And Rodriguez touted that «Republicans are delivering on policies that keep Americans safe and let families and workers keep more of their hard-earned paychecks. Voters will reward us for it in 2026.» 

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Netanyahu’s security cabinet to meet on Gaza war, as some in Israel call to resettle enclave

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Israeli Prime Minister Benjamin Netanyahu is set to convene his high-level security cabinet on Thursday to discuss expanding the war against Hamas, including the potential full military occupation of the Gaza Strip.

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The prospect comes against the backdrop of the 20th anniversary of Israel’s full disengagement from the enclave, as calls for resettlement — once confined to the political fringes — have entered the mainstream, including within the government, particularly in the wake of Hamas’s Oct. 7 massacre.

Rebuilding Jewish communities in Gaza would be «a historic correction to a national injustice,» Yitzhak Wasserlauf, Israel’s minister for the Development of the Periphery, the Negev and the Galilee, told Fox News Digital.

FOX NEWS GETS INSIDE LOOK AT GAZA HUMANITARIAN SITUATION AS ISRAEL WEIGHS NEXT STEPS

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Israeli Prime Minister Benjamin Netanyahu stands on a platform overlooking the Gaza Strip during his first visit to Kibbutz Nir Oz since the Oct. 7, 2023 attack by Hamas terrorists where a significant number of this community were killed or captured, near the Israel-Gaza border in southern Israel, on Thursday, July 3, 2025. (AP Photo/Leo Correa)

«Expelling Jews from their homes in their own country was a strategic and moral mistake that led to the rise of an Islamist terrorist regime called Hamas,» he said. «That mistake enabled Hamas to fire relentless rockets and ultimately carry out the October 7 massacre — which included murder, rape, abuse, looting, and, of course, the kidnapping of soldiers and civilians.»

Wasserlauf invoked the bloc of 17 Israeli communities, collectively known as Gush Katif, which was established in Gaza after the 1967 Six-Day War. In August 2005, as part of Israel’s unilateral disengagement, the government forcibly removed approximately 8,600 Jewish residents from the area.

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He said reapplying Israeli sovereignty «would send a clear message: whoever strikes us loses the ground beneath his feet. Only in this way can true deterrence be achieved,» Wasserlauf continued. «We need to create facts on the ground. There must be no agreements with terrorists. Settlement in Gaza must, at the very least, be the price that reminds everyone terrorism does not pay.»

From 1948 to 1967, the Gaza Strip was under Egyptian occupation. After Israel captured the territory in the 1967 Six-Day War, it remained under full Israeli control until 1994, when administrative responsibility was transferred to the Palestinian Authority under the Oslo Accords — paving the way for Yasser Arafat’s return from exile in Tunis.

Hamas terrorits

Hamas terrorists emerge from the shadows as they surround Red Cross vehicles. (TPS-IL)

In 2005, Israel evacuated all military personnel and civilian communities from Gaza. Shortly thereafter, Hamas won the Palestinian legislative elections and staged a violent coup to overthrow the Palestinian Authority and seize control of the Strip.

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A year after Israel unilaterally disengaged from Gaza, evacuating all military personnel and civilian communities, Hamas won the Palestinian legislative elections and, shortly thereafter, staged a violent coup to overthrow the Palestinian Authority and seize control of the Strip.

Wasserlauf argued that critics of the disengagement had long warned that any concession of land would only embolden terrorists. These warnings, he said, were ignored, but ultimately proven correct by the events that followed.

He acknowledged that renewed settlement in Gaza would likely trigger political backlash both domestically and abroad. «The countries that support us will stand with us, and those that consistently oppose us will remain against us … I remind you that there were countries that urged us not to strike Iran, despite its race toward nuclear weapons and its explicit goal of destroying Israel.»

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BROTHER OF ISRAELI HOSTAGE URGES UN TO ACT AFTER VIDEO SHOWS HAMAS STARVING AND TORTURING CAPTIVES

The Israeli settlement of Pa'at Sadeh is seen Dec. 26, 2004 in the southern Gaza Strip.

The Israeli settlement of Pa’at Sadeh is seen Dec. 26, 2004 in the southern Gaza Strip.

Brig. Gen. (Res.) Amir Avivi told Fox News Digital that Israel’s core national security doctrine of deterrence is being tested by jihadist groups like Hamas, which operate according to a radically different set of rules.

Avivi, founder and chairman of the Israel Defense and Security Forum, said that Israel’s approach to Gaza may ultimately hinge on U.S. support, especially from President Donald Trump. «If the U.S. president advocates for massive relocation and taking control of Gaza to implement his own vision, it would suggest some kind of basic understanding between the two sides,» Avivi said.

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He estimated that the Israel Defense Forces (IDF) currently controls about 75% of Gaza, with past decisions largely driven by military considerations. However, he said that the remaining 25% of the territory involves broader strategic decisions, shaped by how Israel and the United States view the future of the area, including Jewish settlement.

Maj. Gen. (Res.) Yaakov Amidror, a former national security adviser, told Fox News Digital that resettling Gaza should not be part of Israel’s agenda.

LTG Eyal Zamir

Chief of the General Staff LTG Eyal Zamir conducted a field tour in the Rafah area of the Gaza Strip. Zamir spoke with soldiers and was presented with defensive preparations and operational plans. (IDF)

«We have one mission now, and that is to dismantle Hamas,» he said. «We’ll talk about the day after, the day after. To bring back any level of normalcy to Gaza, we need to find partners — and I don’t know who those partners would be if we settle in Gaza.»

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SHE FED 100K GAZAN FAMILIES FOR FREE – NOW TERRORISTS AND LOCAL MERCHANTS WANT HER DEAD

Amidror, a distinguished fellow with the Jewish Institute for National Security of America, said that Israel must in the long-term remain solely responsible for security in Gaza, citing past failures when control was transferred to the Palestinians after the Oslo Accords. He argued that reestablishing settlements could complicate that mission, asserting that security should remain solely in the hands of the IDF.

Religious Zionism lawmaker Simcha Rothman told Fox News Digital that «If we are trying to achieve peace, any agreement or situation in which Jews cannot live in their ancient homeland is not just,» but acknowledged it is not one of Israel’s official war objectives. «While resettling Gaza is the right thing to do, it is not part of the current effort.»

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Maj. Gen. (ret.) Amos Yadlin, former head of IDF Military Intelligence, reiterated that resettling Gaza is not part of the Israeli government’s declared war objectives.

«If Israel needs to reoccupy Gaza militarily, it should be to destroy Hamas and bring back the hostages — not to annex Gaza as part of Israel. There are 2 million Palestinians in Gaza, maybe more,» Yadlin, who is currently president of MIND Israel, told Fox News Digital.

memorial at Nova music festival

Memorials at the site of the Oct. 7 Hamas terror attack on the Supernova music festival near Kibbutz Re’im, Israel, on Monday, May 27, 2024. (Kobi Wolf/Bloomberg via Getty Images)

«Israel does not want to rule over them or provide for all their needs. It would cost billions and alter the demographic balance. This idea is being pushed by right-wing elements in the government, and even the prime minister and his party do not support it,» he said.

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Daniella Weiss, general director of the Nachala Settlement Movement, told Fox News Digital that the aftermath of Hamas’s October 7 attack signals the start of a new era. «I think we should go much further than what existed in 2005. Back then, we were 10,000 people in Gaza. Our movement, Nachala, has proposed a plan for 1.2 million Jews in Gaza,» Weiss said.

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Israelis march from Sderot toward the northern border of Gaza, calling for the re-establishment of settlements in the territory, on July 30, 2025 in Israel.

Israelis march from Sderot toward the northern border of Gaza, calling for the re-establishment of settlements in the territory, on July 30, 2025 in Israel. (Mostafa Alkharouf/Anadolu via Getty Images)

She said her organization is already taking tangible steps to begin the process, «We’ve organized six groups of young families—more than 1,000 families—who are willing to move to Gaza now,» she said.

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While Weiss expressed regret that the Israeli government has not included Jewish resettlement in its official war objectives, she insisted that in Israel’s democracy, public pressure can influence government policy.

«The basic truth is that the Gaza area is part of the western Negev,» she said. «Historically, it was part of the area of the tribe of Yehuda. To turn your back on that is wrong.»

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