Originally published May 30, 2025. This version was rebuilt from the Court of International Trade's opinion, the Federal Circuit's order and NAR for the FIN archive, and the facts are as of that date.
The last week of May 2025 delivered two court rulings on tariffs in two days and a weak reading on the housing pipeline. Importers had no idea which rates they would be paying in June.
The short version
- The Court of International Trade ruled the IEEPA tariffs unlawful on May 28.
- The Federal Circuit stayed that ruling on May 29.
- NAR said pending home sales fell 6.3% in April.
Two courts in two days
In V.O.S. Selections v. Trump, a three-judge panel of the Court of International Trade held that IEEPA does not authorize the worldwide and retaliatory tariffs or the trafficking tariffs on Canada, Mexico and China, and permanently enjoined them.
A day later the Federal Circuit granted an immediate administrative stay while it considered the government's motion, so the tariffs stayed in effect.
Update. The Supreme Court ruled on February 20, 2026 that IEEPA does not authorize these tariffs.
Housing pipeline weakens
NAR said pending home sales fell 6.3% in April to an index reading of 71.3, with declines in all four regions. Pending sales are contracts signed but not closed, so they point to fewer move-ins over the summer.
Plan for both outcomes
With the courts split, importers had to plan for tariffs staying and for tariffs going away. A softer housing pipeline made the summer look slower either way.
Related on FIN
Sources
- U.S. Court of International Trade, V.O.S. Selections, Inc. v. United States, Slip Op. 25-66 (May 28, 2025)
- U.S. Court of Appeals for the Federal Circuit, Order in No. 25-1812 (May 29, 2025)
- Supreme Court of the United States, Learning Resources, Inc. v. Trump, opinion (Feb. 20, 2026)
- National Association of Realtors, Pending home sales, April 2025
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