Tag: supply chain

  • Supreme Court Tariff Ruling: Navigating New Import Realities and Potential Refund Pathways

    Supreme Court Tariff Ruling: Navigating New Import Realities and Potential Refund Pathways

    Supreme Court Tariff Ruling: Navigating New Import Realities and Potential Refund Pathways

    Following a landmark 6–3 Supreme Court decision striking down executive tariffs, Michelle Schulz provides strategic context on alternative tariff mechanisms and the path toward recovery for U.S. importers.

    In a major legal shift, the U.S. Supreme Court ruled 6–3 that key executive-imposed tariffs were unconstitutional due to a lack of explicit congressional approval. Speaking on KXAN-TV, international trade attorney Michelle Schulz addressed the immediate operational implications for businesses facing a rapid pivot to alternative tariff structures and explored whether companies can expect refunds on duties previously paid.

    KXAN-TV, Austin

    Anchor: Will DuPree

    The U.S. Supreme Court delivered a decisive 6–3 ruling holding that broad tariffs enacted without congressional authorization breached constitutional boundaries. While the decision invalidates significant duties previously imposed under executive order, the administration has signaled a swift pivot toward alternative statutory authorities—including a temporary 10% global tariff and other legal channels—to maintain revenue and trade pressures. For corporate leadership, this decision offers immediate legal relief on one front while introducing new compliance hurdles as the executive branch leverages alternative trade statutes to keep duty obligations in place.


    Discussing the ruling’s real-world impact on KXAN Radio, Michelle Schulz highlighted the ongoing friction felt across the supply chain, noting,

    “For the most part, importers are frustrated because they do have to pay those tariffs, and if they don’t pay them, they get penalized.” 

    U.S. importers have absorbed heavy financial strain under recent duty policies, facing severe administrative penalties or inventory holds for non-compliance. While the court’s ruling challenges the validity of certain tariff programs, importers cannot afford a lapse in compliance. Businesses must navigate shifting Customs enforcement, precise classification standards, and emerging regulatory frameworks as new trade measures take effect to avoid costly delays at ports of entry.


    For businesses seeking financial recovery on duties paid under the invalidated authorities, the court’s decision opens a potential avenue for refunds, particularly regarding IEEPA-based tariffs. Addressing the outlook for duty recovery, Schulz observed,

    “The refund process is—it gives me some hope. There may be refunds available on these IEEPA tariffs, but importers should keep in mind that that could take a very long time, and it could be a complex, nuanced…” 

    As noted during the broadcast, recovering paid duties will not happen overnight. The refund process is expected to be a multi-layered, highly technical legal procedure requiring meticulous documentation, strategic protest filings, and ongoing monitoring of Court of International Trade directives. Importers are encouraged to audit past entry summaries immediately to preserve their rights for monetary recovery.

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    Protect Your Bottom Line & Explore Tariff Refunds

    Don’t navigate post-ruling tariff adjustments or complex refund processes alone. Contact the trade compliance experts at Schulz Trade Consulting today to audit your past duty payments and safeguard your supply chain against upcoming policy shifts.

  • Small Businesses Push Back as New Tariff Wave Hits Global Supply Chains

    Small Businesses Push Back as New Tariff Wave Hits Global Supply Chains

    Small Businesses Push Back as New Tariff Wave Hits Global Supply Chains

    Trade attorney Michelle Schulz details how stacking tariffs are disproportionately impacting importers on This Morning with Gordon Deal.

    International trade attorney Michelle Schulz joined This Morning with Gordon Deal to explain how small businesses are mounting legal challenges against broad, stacking tariffs that disproportionately impact their operations. To protect their bottom lines, Schulz recommends that importers proactively file administrative protests with Customs and Border Protection to preserve their legal rights and secure potential duty refunds before entries liquidate.

    This Morning with Gordon Deal

    Host: Gordon Deal

    As small businesses navigate an increasingly complex international trade landscape, a growing coalition of importers is taking legal action to challenge the latest round of federal import taxes.

    Appearing on This Morning with Gordon Deal, international trade attorney Michelle Schulz, founder and managing partner of Schulz Trade Law in Dallas, outlined how expanding tariff measures are straining commercial operations across the country. Importers are facing overlapping duty burdens, with rates rising anywhere from 10% to 12.5% across multiple categories. Schulz explained that administrative frameworks originally structured for targeted trade policy are now being applied broadly, creating widespread confusion and financial hardship.

    As Schulz noted,

    “Small businesses are really still reeling from Section 122, Section 232, Section 301, and they’re very confused overall about what tariffs they owe, how much they owe, and what they can still recoup and refund.”

    A primary driver of recent legal challenges centers on the administration’s use of broad trade policy mechanisms under the banner of targeted remedies. For instance, recent Section 301 forced labor designations have applied sweeping 12% tariffs across approximately 60 countries, placing a blanket tax burden on all incoming shipments regardless of individual supply chain integrity. According to Schulz, small importers bear a disproportionate burden under these broad enforcement actions compared to larger corporations with deep compliance budgets.

    “Small businesses are suing to block the latest import taxes because… they’re challenging Trump’s authority, but they’re saying that Trump is using mechanisms intended for targeted tariffs to impose broad tariffs,” Schulz stated. “Every importer is subjected to that tariff. So small businesses are saying, ‘Hey, wait, you’re just using that tariff to apply a broad tariff to everyone,’ and that impacts small businesses disproportionately.”

    Despite these daunting market conditions, small businesses have secured significant financial victories through proactive legal and administrative remedies. Schulz reported that her firm alone has already recovered over $5 million in IEEPA tariff refunds for clients of all sizes since May, demonstrating that legal recourse remains viable. To safeguard bottom lines against the newest wave of tariffs, importers are encouraged to explore administrative options such as Customs and Border Protection protests, which offer a faster, lower-cost method to preserve refund rights before entry liquidations occur.

    “In regard to the most recent tariffs, they can file a lawsuit, they can file a protest,” Schulz advised. “Protests are typically the way to go as far as administrative remedies. They’re less expensive than filing a lawsuit… simpler, faster, and they will preserve your right to contest the amount on your entry.”

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    Protect Your Import Operations & Recoup Excess Duties

    Don’t leave your hard-earned capital on the table. Contact the experienced international trade team at Schulz Trade Consulting today to review your entries, evaluate protest eligibility, and build a tailored tariff recovery strategy.es, evaluate product-level impact, and explore strategic supply chain adjustments.

  • The Strait of Hormuz Reopens: Why the Global Supply Chain Won’t Recover Overnight

    The Strait of Hormuz Reopens: Why the Global Supply Chain Won’t Recover Overnight

    Navigating 50% Canadian Tariffs and USMCA Instability: Insights from Michelle Schulz

    International Trade Law Expert Michelle Schulz Weighs In on the 50% Canadian Tariff Proclamation and Growing Uncertainty in North American Trade

    In a recent appearance on This Morning with Gordon Deal, Michelle Schulz, Founder and Managing Partner of Schulz Trade Law, analyzed the White House’s announcement of up to $50\%$ tariffs on Canadian imports and the ongoing disruption to the U.S.-Mexico-Canada Agreement (USMCA). Schulz provided critical guidance for U.S. importers and exporters facing unprecedented planning challenges amid shifting trade policies.

    This Morning with Gordon Deal

    Host: Gordon Deal

    Recent Tariff Proclamations and the USMCA Framework

    The federal government’s invocation of executive authority to impose $50\%$ duties on broad categories of Canadian goods—citing alleged trade discrimination in sectors such as dairy, alcohol, and automobiles—marks a significant shift in North American commerce. Addressing whether these measures are justified responses or escalations, trade attorney Michelle Schulz emphasized that the underlying friction points have long been part of standard USMCA negotiations. “We have been addressing these areas already under the U.S.-Mexico-Canada Agreement, and these had been the subject of much discussion over the past several years during negotiations anyway,” Schulz noted, pointing out that stepping away from established treaty frameworks is what ultimately triggered the current friction.


    Strategic Planning Challenges for Importers and Exporters

    For businesses that rely on supply chain predictability, the sudden potential suspension of duty-free treatment creates a severe planning deficit. After decades of relying on duty-free mechanisms under NAFTA and the USMCA, companies must now navigate shifting duty rates, potential Section 301 actions, and uncertain exclusion criteria. “It’s nearly impossible to plan,” Schulz explained during the interview. “We have so many clients who were using the advantages of the USMCA to import and export… and they could not plan ahead at this point because we didn’t even know if we were going to be able to use the USMCA.” She advised businesses to scrutinize product classifications, verify specific exemption status, and prepare for higher landed costs before finalizing cross-border transactions.


    Looking Ahead: The Broader Trade Landscape and Isolation Risks

    As trade officials signal that additional tariffs under various legal provisions may be on the horizon, U.S. businesses face a long-term shift toward trade isolationism. While other global economies continue forging bilateral and multilateral trade pacts, U.S. importers must prepare for continued volatility. Until broader diplomatic negotiations resume or policy priorities shift, proactive duty management and rigorous compliance audits remain the primary tools for companies seeking to mitigate exposure. Schulz advised companies to continuously monitor tariff schedules, evaluate product-level impact, and explore strategic supply chain adjustments.

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    Protect Your Supply Chain from Tariff Volatility

    Navigating rapid changes in tariff schedules, USMCA compliance, and cross-border regulatory exposure requires proactive legal strategy.

    Contact Schulz Trade Consulting today to conduct a comprehensive tariff risk assessment and safeguard your international business operations.

  • The Strait of Hormuz Reopens: Why the Global Supply Chain Won’t Recover Overnight

    The Strait of Hormuz Reopens: Why the Global Supply Chain Won’t Recover Overnight

    The Strait of Hormuz Reopens:

    Why the Global Supply Chain Won’t Recover Overnight

    The agreement to reopen the critical waterway is a major step forward, but a massive backlog of vessels and ongoing safety concerns mean supply chain relief will take weeks—if not months—to materialize.

    While news of an agreement to reopen the Strait of Hormuz offers a glimmer of hope for global commerce, international trade experts warn that a return to normal operations is still far off. With over 500 ships stranded for months and critical safety measures like mine-sweeping still required, businesses must brace for continued shipping delays, inventory adjustments, and elevated freight costs in the near term.

    WBAP News

    Dallas/Ft. Worth

    The Logistical Logjam:

    500 Ships and a Massive Backlog

    The physical reopening of the Strait of Hormuz is only the first step in a long, complex recovery process. Over the course of the months-long shutdown, a massive backlog of roughly 500 cargo vessels has accumulated, leaving trillions of gallons of oil and critical commercial goods stranded at sea. Clearing this bottleneck will require unprecedented coordination, and operations cannot resume overnight.

    Furthermore, the maritime environment remains hazardous. Before cargo ships can safely navigate the waterway, authorities must ensure that mines laid earlier this year are fully cleared. As Michelle Schulz noted during a recent interview on WBAP Radio, Dallas-Fort Worth:

    “It’s going to take some time… Keep in mind that ships have been stuck for over 100 days, so beginning operations again is not going to be a quick fix. Assuming that an agreement is reached and that the Strait does open, there are many things that still need to be done. For example, clearing mines that were laid earlier on this year.”

    Because of these safety imperatives, maritime tracking data suggests that it will take weeks, if not months, for the backlog to entirely dissipate and for standard shipping schedules to normalize.

    Shifting Strategies: How Importers and Exporters are Adapting

    The prolonged instability in the region has forced global businesses to fundamentally re-evaluate their supply chain resilience. Relying on a single, vulnerable transit route is no longer a viable strategy, leading many companies to explore alternative—and often much costlier—routes, such as circumnavigating the African continent.

    To mitigate ongoing delays and safeguard their operations, proactive importers and exporters are utilizing specialized customs and trade mechanisms to manage their cash flow and inventory. Michelle Schulz explained how companies are currently navigating these choppy waters:

    “Our clients are navigating how they’re going to ship and the shipping routes. They’ve been exploring alternate routes and, in addition to that, experiencing delays… Some are looking at mechanisms like bonded warehouses, foreign trade zones, and there’s actually no great solution, to be honest. There’s no perfect solution. But companies are trying to do their best to strategize to minimize the damages on delays and extra expenses.”

    Ultimately, these extended routes and strategic pivot points come with a price tag. Higher operational expenses and freight fees will continue to trickle down the supply chain, impacting both corporate bottom lines and retail consumers alike.

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    Mitigate Your Trade Risks

    Navigating global supply chain disruptions requires proactive legal and logistical strategy. Whether you need to review your current shipping contracts, evaluate force majeure clauses, or leverage trade programs like Foreign Trade Zones (FTZs) and bonded warehouses to protect your inventory, Schulz Trade Law is here to help.

    Contact Schulz Trade Consutling Today for a Comprehensive Strategy Consultation!