To nullify the Presidential Proclamation relating to Imposing a Temporary Import Surcharge to Address Fundamental International Payments Problems, and for other purposes.
- Sponsor
- Rep. Panetta, Jimmy [D-CA-19]
- Committees
- Ways and Means Committee (primary)
- Last action
- Apr 9, 2026
Bottom line
This bill seeks to immediately reverse a recently imposed presidential import surcharge and ensure the refund of any duties collected under it, effectively restoring the prior trade policy and reasserting congressional authority.
What it actually does
This bill nullifies Presidential Proclamation 11012 of February 20, 2026, which imposed a temporary import surcharge to address international payments problems. It explicitly states that this proclamation, or any substantially similar future executive action, shall have no force or effect, and prohibits the use of federal funds to carry it out. Furthermore, the bill mandates that the President take necessary actions to refund any tariffs or duties collected under the proclamation between its effective date and the date of the bill's enactment.
Proponents argue
Proponents argue that the presidential proclamation imposing the import surcharge represents an overreach of executive authority, infringing upon Congress's constitutional power to regulate commerce and levy duties. They contend that such a unilateral economic measure is detrimental to American consumers and businesses by increasing import costs, potentially harming economic growth and international trade relations. They believe this bill reasserts legislative oversight and provides necessary relief from an ill-conceived policy.
Opponents contend
Opponents of this bill (who would be proponents of the original proclamation) would argue that the import surcharge was a necessary and legitimate exercise of presidential authority to address urgent fundamental international payments problems, protect domestic industries, or stabilize the national economy. They might assert that nullifying the proclamation undermines the President's ability to respond swiftly to economic crises and removes a vital tool for safeguarding national economic interests.
The bill is exceptionally short and uses clear, direct language, making it highly accessible for any reader to quickly understand its core intent and provisions.
Section 1(a)
Nullification of Temporary Import Surcharge Proclamation and Funding Prohibition
This section declares Presidential Proclamation 11012, which imposed a temporary import surcharge, to be without legal effect. It also explicitly prohibits the obligation or expenditure of any federal funds to implement this specific proclamation or any future presidential proclamation or action that is substantially similar, regardless of the percentage of the surcharge. This effectively halts the collection of the surcharge and prevents similar executive actions without congressional approval.
Supporters argue
Supporters argue that this provision is crucial for reasserting congressional authority over trade policy, preventing the executive branch from unilaterally imposing broad economic measures that can harm domestic industries and consumers. They contend it protects American businesses from increased costs and helps maintain stable, predictable international trade relations by ensuring legislative approval for significant tariff changes.
Critics contend
Opponents (of the bill, i.e., supporters of the proclamation) would contend that this provision unduly restricts the President's ability to respond swiftly and decisively to urgent international payments problems or to protect national economic interests. They might argue that the surcharge was a necessary tool to address specific economic challenges and that its nullification removes a vital executive power.
Tradeoffs
This provision navigates the tension between the executive branch's desire for flexibility and speed in economic policy and Congress's constitutional prerogative over trade and taxation. It balances the potential benefits of a surcharge (e.g., addressing trade deficits) against its potential costs (e.g., higher consumer prices, retaliatory tariffs, market disruption).
Section 1(b)
Mandate for Retroactive Refund of Tariffs and Duties
This section requires the President to undertake all necessary actions to provide for the refund of any tariffs or other duties that were imposed and collected as a result of Presidential Proclamation 11012 (or any substantially similar executive action). These refunds apply to all such duties collected during the period between February 20, 2026, when the proclamation became effective, and the date this bill is enacted into law.