US Court Rules Presidential Tariffs Unlawful Without Congress Approval

A major legal twist has added new uncertainty to the US trade landscape.

The US Court of International Trade has ruled that the President cannot unilaterally impose reciprocal tariffs under the IEEPA (International Emergency Economic Powers Act) without Congressional approval. The court has issued a permanent injunction and ordered the administration to reverse several tariffs — including the 30% duty on Chinese goods — within 10 calendar days. The ruling is now being appealed.

If upheld, this decision could also impact tariffs currently in place on goods from Mexico, Canada, and a wide range of other countries. However, duties on steel, aluminium, autos and auto parts — imposed under different legislative powers — remain unaffected.

For US importers and global shippers, the ruling raises immediate questions: Will tariffs be lifted? Could paid duties be reclaimed? And how will key trading partners, including China, respond? With appeals and legal wrangling expected to drag on, uncertainty remains high — but the potential for significant change is very real.

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Asia–Europe Rates Surge 60% Amid Ongoing Tariff Talks

Europe Feels the Squeeze as US–China Trade Surge Repositions Global Freight.

The sharp 60% spike in Asia–Europe spot rates is a direct result of global supply chain disruption triggered by the US–China tariff reprieve. Shippers, scrambling to move goods before tariffs potentially rise again, have created a surge in transpacific demand—causing equipment shortages and vessel reallocations across global trade lanes.

Carriers are reinstating previously suspended transpacific services in response to a short-term cargo surge linked to the US’s temporary tariff relief on Chinese imports. This shift is starting to impact other lanes. With vessels being pulled toward North America, space is tightening on some secondary routes, leading to sharp rate hikes.

Carriers, seizing the opportunity, are prioritising the high-paying US routes and introducing aggressive rate increases on other trades, including Asia–Europe. As available capacity tightens, even unaffected lanes are seeing cost inflation driven by global repositioning and a sense of urgency among shippers.

This panic-driven frontloading is setting the stage for an early and intense peak season. But once the 90-day window closes and inventories are stocked, demand may quickly fall away—potentially sending rates sliding just as sharply as they’ve risen.

Rate Hikes Raise Red Flags for Shippers

Short-Term Spike or Long-Term Shift? What Shippers Need to Know

Carriers are pushing up ocean freight rates, with GRIs set to take all-in prices to $7,000 per 40ft to the US East Coast from 1 June. Analysts say the recent tariff cut on Chinese goods has triggered a shipping rush — and carriers are quick to respond with surcharges.

While these GRIs may not last, they show where carriers are heading — worrying news for shippers on long-term contracts. Many still remember being sidelined during COVID when carriers chased higher spot market rates.

Some forwarders and shippers are now looking to secure monthly space guarantees, rather than yearly commitments, and even teaming up in consortia to gain more leverage.

But experts warn the current volume spike is likely short-lived. Once the 90-day tariff window closes, demand — and rates — could drop again.

Here’s what shippers can expect - and how Unsworth is here to help:

• Dynamic contract strategies – We help clients balance fixed rates with flexible options to stay competitive in volatile markets.

• Priority space allocation – Tap into Unsworth’s partner carrier network to secure guaranteed space, even during rate surges.

• Real-time rate tracking and alerts – Through Pathway, monitor rate trends and booking opportunities to make smarter, faster shipping decisions.

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MSC Vessel Capsizes Off Indian Coast

The Liberia-flagged MSC Elsa 3 capsized off the coast of Cochin, India on 25 May after developing a severe list during monsoon conditions. All 24 crew members were safely rescued.

The vessel, en route from Vizhinjam to Cochin, was carrying around 640 containers, including 25 with hazardous cargo such as calcium carbide. There are growing concerns about possible oil spills and environmental impact.

MSC Elsa 3, built in 1997, has a history of incidents and was one of many older vessels MSC uses in regional transhipment operations. The cause of the accident is under investigation, though extreme weather and stability issues are suspected.

Indian authorities and industry observers are calling for stricter rules on ageing vessels, especially as older ships continue to operate along India’s coast under relaxed cabotage laws.

Salvage efforts are ongoing, and the fate of the cargo and any insurance claims will depend on the outcome of official investigations.

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European port congestion expected until July

Congestion at key European ports like Antwerp, Rotterdam, and Hamburg is causing vessel delays of up to two weeks, with ripple effects expected through July. Strikes, Rhine water levels, and early peak season demand are driving the disruption — and UK shippers could face extended transit times, rising rates, and tighter capacity.

Unsworth is supporting shippers with strategic rerouting to avoid the worst-affected terminals, offering space protection and flexible planning to keep goods moving.

New EU Regulations: How Do They Impact You?

On 19 May 2025, the UK and EU reached a landmark political agreement to deepen cooperation on trade, security, and borders. Crucially for shippers, the deal includes a proposed Sanitary and Phytosanitary (SPS) Agreement and plans for closer alignment on customs, energy markets, and emissions.

These changes could significantly reduce friction at the border — but they also signal a shift in how UK–EU trade will be regulated going forward. If your business moves goods across the Channel, you need to understand what’s coming and how to adapt.

Missed our webinar? Watch it on demand to get:

• A breakdown of the SPS changes and how they’ll cut delays and checks
• Insights on what “dynamic alignment” really means for shippers
• Practical next steps to keep goods flowing and stay compliant

This isn’t just another policy update — it’s a major development that could reshape UK–EU logistics. Don’t get left behind.

Watch our latest webinar to catch up on demand.

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[Webinar] Tariffs: Risks & Benefits to Freight in 2025

Join Unsworth UK’s supply chain experts where we dive into the latest on the logistics landscape.

With new waves of tariffs introduced by the Trump campaign and other geopolitical tensions, importers and exporters are hitting pause. Not because ports are jammed or equipment is unavailable, but because the trade landscape is simply too uncertain. Businesses are waiting for clarity before they commit to new shipments.

• Making Sense of the New Tariff Landscape: Cut through the noise around recent U.S. trade moves. We’ll explain what the latest tariffs actually mean for global freight—and why they’re causing hesitation across supply chains.

• The Impact on Rates, Equipment, and Carriers: Get clarity on how tariff-driven hesitation is creating freight rate volatility, shifting capacity, and straining equipment flows. We’ll show you what’s changing—and what to expect next.

• Get Practical Freight Strategies for 2025: Walk away with actionable insights to help you stay agile, protect margins, and move with confidence in a turbulent trade environment. Planning tools, shipping tactics, and risk mitigation ideas included.

Tuesday 17th June 2025 at 11:00 AM BST

Reserve your spot now.

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Speak to our team today

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