President Donald Trump’s sweeping tariffs will remain in place for the time being, after a federal appeals court paused a ruling that had blocked them just one day earlier. The move keeps billions in trade duties alive, at least until the courts sort things out.

On Wednesday, a U.S. trade court ruled that Trump overstepped his presidential powers by using emergency laws to impose high tariffs on goods from countries like China, Canada, and Mexico. The court said only Congress has the power to impose such taxes. But on Thursday, the U.S. Court of Appeals for the Federal Circuit put that decision on hold, giving the Trump administration time to argue its case.

The court gave a quick timeline: the plaintiffs – small businesses hurt by the tariffs, must respond by June 5, and the government has until June 9. Until then, Trump’s tariffs stay in place.

The tariffs, referred to as “Liberation Day tariffs” by the administration, were pitched as a way to stop the flow of fentanyl and give the U.S. leverage in trade talks. But critics, including some judges, say the President cannot use emergency powers to bypass Congress.

Financial markets reacted cautiously. While the initial trade court ruling sparked hope, the appeals court’s stay means uncertainty remains. Some companies, like Ford and GM, have already pulled financial forecasts due to rising costs caused by tariffs. Others, including non-U.S. firms, are rethinking where to do business.

Trump fired back at the original court ruling, calling it “horrific” and warning it could weaken the presidency. He said he hopes the Supreme Court will eventually overturn it.

For now, the legal battle continues, and so does the confusion. Businesses are left in limbo, trade talks are clouded, and everyday Americans may feel the impact at the checkout line. Whether these tariffs will survive long-term depends on how the appeals process unfolds in the coming weeks.