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White House exposes ‘Transshipment Scam’ costing US up to $26B, points finger at China
Concerns are growing that foreign exporters are routing goods through third countries to evade U.S. tariffs, according to a new White House report released Thursday.
As well as China, Panama, Mexico and Colombia are among more than 40 countries identified as posing a high transshipment risk, together with Brazil, Argentina, Chile, Peru, Costa Rica and the Dominican Republic.
Transshipment can involve routing goods through an intermediary country before they enter the United States under a different country of origin, potentially qualifying for lower tariffs.
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The 25-page report, titled "The Great Transshipment Scam," was produced by the White House Office of Trade and Manufacturing Policy, which is led by trade adviser Peter Navarro.
The report says China offers the most developed historical example of transshipment.
Following the imposition of Section 301 tariffs on China in 2018, the direct U.S. trade deficit with China fell in 2019 and 2020.
"After their imposition, Chinese exporters increasingly routed goods through third countries," the report says, with goods that previously moved directly from China to the United States instead being shipped through jurisdictions where limited assembly, finishing, repackaging, relabeling or documentation changes could create the appearance of a different national origin.
PETER NAVARRO: TRUMP'S ARTEMIS VISION IS NOW FLYING — AND CHINA IS PAYING ATTENTION
"Over time, these practices contributed to the development of a global network of production hubs, logistics platforms, free-trade zones, bonded warehouses, processing corridors, and re-export centers," the report said of the transshipment practice.
The report also estimates tariff-avoiding transshipment costs the U.S. Treasury between $19 billion and $26 billion in revenue annually.
"The Trump administration has taken steps to strengthen transshipment enforcement."
"For years, the great transshipment scam has let communist China launder its exports," Navarro said, according to The Associated Press.
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Navarro also said countries such as India could also use transshipment to avoid tariffs and that new trade frameworks pursued by the Trump administration will include provisions to penalize trading partners that engage in the practice.
The report cites government and private-sector estimates putting the value of goods transshipped to avoid tariffs at roughly $34.2 billion to $303 billion annually.
Navarro said U.S. Customs and Border Protection has begun using artificial intelligence in a prototype program to detect transshipment. He also said importers found to have falsified a product’s origin can face tariffs applied retroactively for roughly a year.
The report comes ahead of a planned September visit to Washington by Chinese President Xi Jinping, following President Donald Trump’s visit to Beijing in May.
Fox News Digital has reached out to the White House for comment.
CNN calls out Patriot Games participants as 'overwhelmingly White,' citing outlet's analysis
CNN's Audie Cornish called out the Patriot Games for being "overwhelmingly White" Wednesday, taking aim at the Freedom250-sponsored event President Donald Trump attended this week.
"The president promised the best of the best student athletes. I‘m not sure that‘s what we got," CNN’s Audie Cornish said Wednesday during her morning show.
"A CNN analysis actually found that a specific demographic of kids got a shot to compete. Of the ones who were featured in the Freedom 250 Instagram page, many attend private Christian schools. They also appear to be overwhelmingly White, and the application for the games didn‘t specify race."
Cornish then played clips of videos also calling out the games on social media. One described it as the "dystopian Hunger Games."
JEMELE HILL SAYS UFC EVENT AT THE WHITE HOUSE WAS 'PERFORMATIVE PATRIOTISM' THAT LACKED 'DIVERSITY'
"I don‘t want to make fun of these kids. The contestants range in age from 14 to 17, but here are the things people are raising questions about," Cornish added.
"Not selected through any qualifying events. They recorded video essays, just sort of describing why they should be included. Some students were chosen to represent states where they don‘t even live."
White House spokesman Davis Ingle fired back at the criticism.
"Thanks to President Trump and the incredible efforts of the Freedom 250 organization, athletes from all across the country had the opportunity to put their talents on national display and earn life-changing scholarships that would greatly impact their futures," Ingle said.
"The inaugural Patriot Games were a resounding success, and anyone who claims they were racist or otherwise clearly suffers from a severe and incurable disease known as Trump Derangement Syndrome that has completely rotted their peanut-sized brains."
The Patriot Games is a national youth athletic competition held at Spire Academy in Geneva, Ohio, organized by Freedom250. It brought together teenage athletes, ages 14 to 17, representing all 50 states, U.S. territories, and tribal nations to compete in sports and physical challenges as part of the nation's 250th anniversary celebration.
AS AMERICA MARKS 250 YEARS, OUR GREATEST CHAPTERS ARE STILL AHEAD OF US
The competition awarded a $250,000 scholarship prize pool to one male and one female champion. The games took place Aug. 9-11.
Cornish asked her panel about the event and the concerns she raised. Steamboat Institute fellow Carine Hajjar, said the event came across more like a Trump rally. However, she said some of the criticism was silly.
"I don't think that the idea of having some sort of sporting event for young American athletes is that crazy, especially around the 250th anniversary. I actually think it's a great idea. But this comes down to both, I think, poor execution of the event itself and also some of the outrage around it, has been a little silly, too," Hajjar said.
"I mean, at this point, really, there's plenty of criticism to be made about it, but I think that this has become sort of a farce because of both sides. One, it was poorly planned, but two, people were rooting for it to lose all along."
Cornish said the games were similar to a UFC event.
CNN published a report about the event Aug. 9 that also compared the event to the Hunger Games.
"The premise sounds almost fictional: one boy and one girl from every state, territory and some tribal nations, flown to a private campus in Ohio to compete in a televised athletic contest called the Patriot Games — a Trump-backed youth competition with obstacle courses, patriotic testimonials and inevitable comparisons to The Hunger Games," the report said.
CNN did not immediately return Fox News Digital's request for comment.
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Cornish also said it seemed like America250 wasn't being celebrated and said it was a "weird year."
Live bullet found aboard United flight forces passengers off plane for security sweep at Denver airport
A United Airlines flight from Denver to San Diego was delayed Thursday after a live bullet was discovered aboard the plane before departure, prompting passengers to deplane while security personnel swept the aircraft.
United Flight 1302 was preparing to leave Denver International Airport when the bullet was found during routine checks before the plane taxied to the runway, according to FOX31 Denver, which had a member of its news team aboard the flight.
"The bad news is we found a live round, a bullet on the airplane," the speaker said. "This is a security breach here, and everybody is going to have to deplane."
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Passengers were instructed to leave the Boeing 737-900 with their carry-on bags while security personnel searched the aircraft.
"We need everybody to deplane the aircraft with your carry-on bags. We’re going to have to carry out a security sweep of the aircraft after the plane is empty," the speaker said. "We apologize for this."
The crew said at the time that it did not know how the bullet got aboard the aircraft or where it came from, according to FOX31.
United Airlines confirmed the incident in a statement to Fox News Digital.
"United flight 1302 from Denver to San Diego underwent a security sweep after a bullet was discovered on board prior to the flight’s departure," a spokesperson wrote. "Security personnel cleared the aircraft, which later departed for San Diego."
United said the Boeing 737-900 was carrying 178 passengers and six crew members. The airline directed additional questions about the incident to the Transportation Security Administration (TSA).
Flight 1302 had been scheduled to depart Denver at about 1:25 p.m. It took off at about 3:41 p.m., more than two hours after its scheduled departure, according to FOX31.
It was not immediately clear who the bullet belonged to or how it ended up on the aircraft.
Fox News Digital reached out to TSA and Denver International Airport for additional information.
Seahawks sign former first-round Lions cornerback Terrion Arnold despite looming felony charges
Terrion Arnold, the former Detroit Lions first-round pick, is no longer a free agent.
Arnold and the Seattle Seahawks have reached a deal to bring him into the fold with the reigning Super Bowl champions, according to multiple reports.
The Lions, who selected Arnold with their first-round pick in 2024, released him in June after he was arrested in Tampa, Florida, on felony charges connected to a robbery and kidnapping from February.
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The Seahawks were among the teams that Arnold visited earlier this week as he looked for his next chapter in the league. He also visited with the Houston Texans, New York Giants and New Orleans Saints.
But the Seahawks, who already tout a superb defense on paper, are who Arnold wants to play with next. In fact, during HBO’s "Hard Knocks," GM John Schneider was even seen discussing the potential of signing Arnold to the roster.
Head coach Mike Macdonald also noted the "great tryout" Arnold had while in Seattle.
LIONS RELEASE TERRION ARNOLD AFTER BOND SET AT $1 MILLION IN ARMED ROBBERY, KIDNAPPING CASE
"It’s a situation where there’s other things that are surrounding it," Macdonald told reporters this week. "We’re aware of that. But we’re working through the situation right now. But it was a great visit. I really enjoyed meeting him, and I think he enjoyed being here, so we’ll see where it goes."
Arnold is facing eight felony charges from allegations he orchestrated the abduction and beating of three men in February.
Prosecutors said in June that Arnold arranged for the men to be pistol-whipped after he suspected them of stealing $100,000 in cash and luxury goods from him. He was described as the "primary conspirator" of the incident, and Hillsborough County Judge Christopher Sabella set his bail at $1 million.
However, Arnold’s attorney, R. Timothy Jansen, said in Hillsborough County Court this summer his client will be "absolutely denying these allegations." His agency, EAG Sports Management, added there is "no credible evidence" against him in this case.
Lions head coach Dan Campbell also noted in March that the team did not believe Arnold was involved in this case based on the information they had at the time.
Teams that were looking into adding Arnold to their roster needed to do their due diligence on the matter. No trial date has been set in his case.
The charges against him carry a sentence of up to life in prison. And the NFL must decide whether Arnold should be placed on the commissioner’s exempt list.
If a team is willing to sign him now, it must mean he should be free to play, at least at some point, this season.
Arnold was expected to be a starting corner for the Lions this season, making his release a big one for the depth chart. He recorded his first career interception last season in Week 9 against the Minnesota Vikings, though he was only able to play eight games because of a shoulder injury that required season-ending surgery.
Arnold played 16 games during his rookie season in 2024, tallying 10 passes defended and 60 combined tackles.
The Associated Press contributed to this report.
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Marco Rubio gets 68 new jobs in epic White House birthday gift inspired by viral meme
Marco Rubio has a lot of jobs. Now, he has 68 more.
The White House gave the secretary of state a gold-framed collage for his 55th birthday featuring dozens of versions of the viral "Rubio realizing" meme that has transformed President Donald Trump’s top diplomat into everything from an Iranian ayatollah to an astronaut.
At the center of the 68-panel mosaic is the original, unaltered photograph of Rubio slumped on a couch in the Oval Office earlier this year, signed by Trump in gold ink with a presidential endorsement: "You are great."
WHAT RUBIO’S RISE AS THE INTERNET’S 'FIXER' TELLS US ABOUT TODAY’S POLITICS
Around it is a resume that rivals Barbie's.
There’s Rubio as Robocop, Rubio as an astronaut, Rubio as the White House Easter Bunny, Cardinal Rubio preparing for a papal conclave, Rubio bundled up as the leader of Greenland and one where Rubio holds up a sign that says, "Please stop making memes about me."
The White House presented Rubio with the collage in May, but the gift only came to wider attention this week after Axios reporter Marc Caputo shared a photo of it on X.
While nearly 70 imaginary gigs may sound excessive, the joke lands particularly well for a Cabinet official who has already accumulated an unusually high number of real roles.
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Rubio serves as secretary of state and acting national security advisor and previously pulled double duty as acting archivist and acting administrator of the U.S. Agency for International Development.
The internet also appears to have decided Rubio could handle a few more.
The meme began with a decidedly more serious moment on Feb. 28, 2025, when Trump, Vice President JD Vance, Rubio and other administration officials met Ukrainian President Volodymyr Zelenskyy in the Oval Office.
A photograph from the contentious meeting captured Rubio sitting low on a couch, his hands interlocked and an expression on his face that the internet quickly interpreted as a man coming to an uncomfortable realization.
HOW MARCO RUBIO IS RIDING LAUGHTER AND MEMES TO SOCIAL MEDIA DOMINANCE
Then came the heavily-Photoshopped memes. As major jobs opened, in reality or otherwise, Rubio kept getting hired.
When Venezuela's Nicolás Maduro was captured, meme Rubio appeared dressed to take over the country. When Minnesota Gov. Tim Walz announced he would not seek re-election, Rubio turned up in blaze orange hunting gear, shotgun included.
Rubio has acknowledged he wasn't initially thrilled with the photograph that launched it all.
"The meme thing, you know, was interesting, 'cause when it first came out, I hated that picture," Rubio recently told Lara Trump on Fox News' "My View."
Rubio explained that the Oval Office couch was partly to blame.
"If you don't have a pillow behind your back, you kinda sink," he said.
But the secretary of state eventually surrendered to the court of public opinion.
"And then it turned into this other thing, and it was fine. And it's funny," Rubio said.
He also revealed that Scavino had turned the online frenzy into something framed forever.
"Dan Scavino made a nice board for me," Rubio said. "And even since he made that board, we had to update it."
Which raises an obvious problem. Rubio may already need a bigger frame.
The White House and the State Department did not immediately respond to Fox News Digital's requests for comment.
Netflix gives Elle Duncan another MLB showcase at Field of Dreams, baseball fans have seen enough
Major League Baseball and Netflix almost pulled off something truly special on Thursday night.
The MLB at Field of Dreams matchup between the Philadelphia Phillies and Minnesota Twins delivered a pregame sequence that gave baseball fans chills. Watching current players from both squads emerge from the iconic Iowa cornfield alongside 26 Hall of Famers, including all-time greats like Cal Ripken Jr., Mike Schmidt, Joe Mauer and Jim Thome, was cinematic gold.
Then, Netflix cut back to the pregame desk, and the spell was instantly broken.
Whatever goodwill the entrance generated was shattered the moment lead anchor Elle Duncan started talking. Instead of letting the historic backdrop breathe, viewers got wooden delivery, forced commentary and little genuine baseball insight. Social media was unforgiving, skewering her appearance from the moment she went live.
"@netflix had options for the #FieldofDreamsGame and we get the insufferable Elle Duncan. Damn," one frustrated viewer posted on X.
Another echoed: "What dirt does Elle Duncan have on Netflix? Every word out of her mouth is insufferable."
The pushback isn't coming out of nowhere. Duncan has given baseball diehards plenty of reason to question her baseball chops and why Netflix continues putting her front and center for marquee events.
NETFLIX REPLACES FAN-FAVORITE FOOTBALL HOST WITH UNPOPULAR, FAR-LEFT PERSONALITY
This is the same host who, during Netflix's Opening Day broadcast from Oracle Park earlier this season, famously referred to home plate as "home base."
That broadcast drew plenty of criticism for Duncan's awkward, forced delivery, too. Thursday night wasn't exactly a course correction.
Beyond the terminology blunders, fans are exhausted by Duncan’s reputation for bringing lecture-heavy narratives into sports coverage.
Look no further than her recent commentary regarding WNBA star Caitlin Clark. Instead of sticking to the action on the court, Duncan opted for the soapbox: "It’s not on her to be burdened by social media clowns," she said, before adding, "As much as we would love for you to be able to just focus on that (basketball)… it’s unfortunately not your reality."
Major League Baseball set the stage, but Netflix's choice of host proved the streamer still has a long way to go in understanding what sports fans actually want to see.
Send us your thoughts: alejandro.avila@outkick.com / Follow along on X: @alejandroaveela
HHS warns Texas hospitals against denying life-saving care to newborn with disability
The Trump administration is stepping into the battle over a Texas newborn with a severe heart defect, warning two hospitals they cannot withhold medical treatment because of his disability.
The Department of Health and Human Services’ Office for Civil Rights told Fox News Digital Thursday it is sending a letter to Children’s Medical Center of Dallas and UT Southwestern Medical Center outlining their obligations under federal disability civil rights laws as doctors make treatment decisions involving baby Gabriel.
The federal intervention comes after Texas Attorney General Ken Paxton took action to ensure the newborn receives medically necessary care after a dispute that began when his biological parents allegedly asked their surrogate to abort him after he was diagnosed with hypoplastic left heart syndrome.
SURROGATE GIVES BIRTH IN TEXAS TO BABY WITH HEART DEFECT AFTER PARENTS REQUESTED ABORTION
Surrogate mother McKenna West refused the request and traveled to Texas, where Gabriel was born Wednesday and taken to a neonatal intensive care unit.
In its letter, HHS' civil rights office makes clear that federal law prohibits withholding medical treatment based on a person's disability, including based on judgments that the life of someone with a disability has less value or that the individual would impose a burden on others.
Those federal protections extend to decisions involving life-sustaining treatment, according to HHS.
The agency said it is monitoring Gabriel's case and offering technical assistance to Children’s Medical Center of Dallas and UT Southwestern as the hospitals determine his care.
HHS is also urging the hospitals to seek a review by an infant care committee if doctors consider withholding or withdrawing medically indicated treatment. The agency said life-sustaining treatment should continue during that review.
The federal action marks the latest intervention in the dispute over Gabriel's medical care.
West was around 20 weeks pregnant when Gabriel was diagnosed with hypoplastic left heart syndrome, a congenital condition in which the left side of the heart is severely underdeveloped. The diagnosis allegedly prompted the intended parents to ask West to have an abortion, according to Paxton's office.
West instead traveled to Texas, and Paxton formally notified UT Southwestern Medical Center and Children’s Medical Center of Dallas of what his office said were their legal obligations to provide Gabriel with "medically necessary, life-saving care upon birth."
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Paxton later secured a court order aimed at ensuring the baby received care after birth.
"The court has made the right decision in immediately acting to protect baby Gabriel’s life and ensure he receives the care he deserves," Paxton said.
"My office utilized every tool at our disposal to protect life, and we will not back down in continuing to support baby Gabriel’s well-being," he added. "Every child in our state deserves to be cared for and protected, and that’s exactly what I’ll fight for."
The case has drawn an outpouring of support for West from conservative and pro-life advocates, who praised her decision to continue the pregnancy and fight for Gabriel's care.
SUPREME COURT UNANIMOUSLY SLAPS DOWN BLUE STATE TARGETING PRO-LIFE GROUP
Andrew Kolvet, a spokesman for Turning Point USA, called West a "hero" on X, writing that she "saved this baby's life" and saying he hopes she is ultimately able to keep Gabriel.
Alliance Defending Freedom, which represents West, celebrated the court order requiring Gabriel to receive the surgery. ADF Senior Counsel Erik Baptist praised West's "courageous stand" for Gabriel and said "every child deserves a chance at life."
Pro-life group Live Action also praised West for resisting pressure to abort Gabriel but said the fight is not over. The group raised concerns that a court order is preventing West from having contact with the newborn, saying Gabriel "needs the comfort of the only mother he's ever known" and that his needs should remain the priority.
Gabriel was born Wednesday and transported to a neonatal intensive care unit, where doctors could perform surgery to treat his heart condition.
"Baby Gabriel deserves a chance at life, and I will not allow anyone to unlawfully deny him medically necessary care," Paxton previously said. "My office will use every tool available to protect innocent lives and ensure that every child receives the care required under Texas law."
Fox News Digital reached out to Children’s Medical Center of Dallas and UT Southwestern Medical Center for comment.
Fox News Digital's Robert McGreevy contributed to this report.
Iran could unleash ‘kinetic’ response as US tightens economic containment, analyst warns
Iran could launch military strikes as early as this fall, targeting a list of high-value assets to shatter increasing U.S. economic sanctions, national security analysts warned Thursday.
The warning came as the Abu Dhabi National Oil Company, or ADNOC, reported that two vessels were struck transiting the Strait of Hormuz, according to the United Arab Emirates' state-run WAM news agency.
ADNOC said there were no injuries, and the situation was under control, according to Reuters, as the UAE foreign ministry condemned the Iranian attacks.
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Treasury Secretary Scott Bessent said Thursday that Washington was preparing to take unprecedented economic action against Iran.
"Watch this space for more announcements coming next week because we are going to apply measures like we have never been seen in the history of economic isolation on a country," Bessent said in an interview on Newsmax.
Behnam Ben Taleblu, a senior fellow at the Foundation for Defense of Democracies, told Fox News Digital Tehran is likely to step up military pressure as Washington intensifies sanctions.
"Come early fall, what we can expect is for them to kinetically push back against Trump's economic policy," Taleblu said. "If the president is re-embracing economic pressure as a management approach, just like we saw in 2019, then the regime will use kinetic pressure to try to find a way to break out of that economic containment."
TRUMP BETS ECONOMIC PRESSURE CAN SQUEEZE IRAN AS REGIME’S OWN FAILURES DEEPEN THE PAIN
Ben Taleblu said shrinking oil revenues and the U.S. naval blockade could also drive Tehran to expand its target list across the region.
"This means they would embrace the kinetic tool, and that's how they would get out of the economic containment regime that the U.S. seems to be defaulting to want to put on them," Taleblu added.
"I would say more attacks on ships, potentially more attacks on U.S. bases, potentially more attacks on Arab infrastructure in the Persian Gulf. And certainly the regime would create a tiered list of targets of what is of immediate value versus what has greater economic value versus what might lead to the U.S. directly or indirectly responding."
The warnings come amid a deadlock in talks between Washington and Tehran.
So far, there have been no discussions about extending the U.S.-Iran ceasefire agreement, a senior Iranian source told Reuters Aug. 12.
Tehran has insisted Washington return to the pact and set a definitive timeline to meet its obligations.
The interim memorandum of understanding, signed in June, called for the "immediate and permanent termination of military operations on all fronts."
The agreement later unraveled, with Trump declaring July 7 the pact was "over."
Under the framework, both sides had an extendable 60-day window to negotiate a final agreement addressing key security concerns, including Iran’s nuclear program.
That deadline is Aug. 17, with control of the Strait of Hormuz remaining a major sticking point.
Hossein Taeb, the newly appointed head of Iran's Basij paramilitary force, said Thursday the Strait of Hormuz remains "under Iran's control and management."
His comments conflicted with Trump's assertion a day earlier that the U.S. held "total control" over the vital waterway.
"The regime is relying on tried and true tactics here, which is, you know, a knife in the back and a handshake in the front to many of America's traditional Gulf partners," Taleblu said.
"It looks like Iranian escalation, Iranian diplomatic pressure, Iranian diplomatic finesse is trying to back the Trump administration into the MOU again.
"The regime definitely does not want to grant the Trump administration the optics of victory, and to that end, they're quite keen to hold on to the Strait of Hormuz."
Taleblu said Trump has described the sanctions-driven strategy as a "low-key" approach.
"These are high-impact tools," he concluded. "I think part of the escalation that we saw in the summer of 2019 — part of that past could be a prologue."
Rams star Puka Nacua left bloodied in bizarre accident at Michael Rubin's star-studded White Party
Puka Nacua’s turbulent offseason keeps finding new ways to hit him — this time, literally.
The latest bizarre story to emerge from the Los Angeles Rams star’s summer involves a spotless window at Michael Rubin’s "White Party" — and, by Nacua’s own admission, the window won.
During an appearance on Logan Paul’s "Impaulsive" podcast, Nacua revealed that he was left bleeding from the face after walking directly into a glass pane at the Fanatics founder’s annual celebrity bash in the Hamptons.
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While speaking with Olympic gymnast Suni Lee, Nacua spotted Snoop Dogg and turned to find Rams teammate Davante Adams. He never saw the nearly invisible pane standing in his way.
"Uh, the glass window pane won," Nacua said. And Nacua apparently wasn’t the only victim of Rubin’s spotless glass.
"They made me feel better when they said three other people ran into it," Nacua said. "But nobody else ended up bleeding from it. So I don’t know if that made me feel much better or worse."
A run-in with Rubin’s glass is hardly the only headache Nacua has dealt with this offseason. The Rams star is facing a civil lawsuit stemming from a New Year’s Eve incident in which a woman alleges he bit her shoulder and made an antisemitic remark. Nacua’s attorney strongly denies the antisemitic allegation and characterized the biting as "horseplay." The lawsuit followed another controversy involving Nacua, who apologized in December after performing a gesture tied to antisemitic stereotypes during a livestream. He later spent time at a holistic care facility focused on personal growth.
Even his family made headlines.
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Nacua’s brother, Samson, was arrested after mistakenly taking an SUV he believed belonged to Puka. Investigators determined it was a mix-up, and Samson was not charged.
Nacua’s offseason could still follow him onto the field, with the NFL reportedly reviewing his conduct and a suspension considered possible. Meanwhile, Nacua gave the Rams a more conventional scare this week when he left Tuesday’s joint practice with the Dallas Cowboys early with groin soreness. He sat out Thursday as Los Angeles took a cautious approach with its All-Pro receiver.
"We’re just being smart with him," Rams coach Sean McVay said. "Expecting to be back next week, ready to go."
The Rams have every reason to be cautious. Nacua is entering the final season of his rookie contract after leading the NFL with 129 receptions and finishing second with 1,715 receiving yards last season.
McVay and the Rams can manage his practice workload and game-plan for double teams. Billionaire-grade window cleaning is apparently another problem entirely.
Send us your thoughts: alejandro.avila@outkick.com / Follow along on X: @alejandroaveela
Gun rights groups capitalize after judge reverses decades-old restrictions: 'Monumental'
Gun rights advocates are wasting little time putting a "huge" federal court victory into action after a judge struck down decades-old firearms restrictions as unconstitutional.
Gun Owners of America (GOA) and Silencer Shop, a federal firearms licensee covered by the ruling linked to the sale and transfer of silencers, notified the Trump administration Thursday they planned to begin transferring gun silencers without going through the National Firearms Act registration and approval process that has governed such transactions for decades.
Just after midnight Thursday, two gun owners walked out of a Texas firearms dealer with silencers without first completing the federal registration and approval process that has governed such transfers for generations, according to Gun Owners of America.
GOA said Brandon Herrera and Texas state Rep. Wes Virdell acquired the suppressors from Silencer Shop in Leander, Texas, in what the gun rights group called the first lawful transfers without National Firearms Act registration since the law was enacted in 1934.
"This is the first time in 92 years that any gun owner has been able to do this," Aidan Johnston, Gun Owners of America’s director of federal affairs, told Fox News Digital in an interview.
"Previously, this would have been punishable by up to 10 years in federal prison and a $250,000 fine per violation. So, this was a big federal law. We took a really big bite out of it."
Rep. Andrew Clyde, R-Ga., who attended the midnight transfers and helped write the legislation that set the stage for the ruling, called it "literally, the greatest Second Amendment win in the history of our country," adding that it marked "a monumental day for the country and a monumental day for the Second Amendment."
The ruling also appears poised to stand without a challenge from the federal government. Clyde said Wednesday he had received confirmation from the Trump administration that the Justice Department would not appeal the decision.
"GOA fought to crush the NFA’s unconstitutional restrictions through the One Big Beautiful Bill, but we didn’t stop there. We promised to keep fighting until these restrictions were gone, and now our members are putting the historic victory into action," said Erich Pratt, senior vice president of Gun Owners of America.
"The era of federal registration for constitutionally protected arms must end."
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The legal fight traces back to Republicans’ 2025 reconciliation package, which initially included broader efforts to roll back National Firearms Act restrictions on suppressors and short-barreled firearms.
After the Senate parliamentarian blocked portions of the deregulation push under reconciliation rules, the final One Big Beautiful Bill Act signed by President Donald Trump instead reduced the NFA’s longstanding making and transfer taxes to $0 for suppressors, short-barreled rifles, short-barreled shotguns and certain other weapons, effective Jan. 1, 2026.
Gun rights groups seized on that change almost immediately. The same day Trump signed the law, Gun Owners of America, the Silencer Shop Foundation and other plaintiffs sued the federal government, arguing the NFA’s registration and approval requirements could no longer constitutionally stand for weapons on which Congress had eliminated the underlying tax. Fifteen states later joined the challenge.
The Justice Department countered that the remaining regulations could still be supported by other NFA taxes and Congress’ authority over interstate commerce.
"Congress didn’t fully repeal the law. They just reduced this 1934 tax from $200 to $0," Johnston told Fox News Digital. "And I think all of us could understand there’s no such thing as a $0 tax. It doesn’t raise any revenue. It’s not a tax."
U.S. District Judge James Wesley Hendrix, a Trump appointee, sided with the challengers Aug. 5, ruling that once Congress eliminated the making and transfer taxes, the regulations that had existed to help collect those taxes lost their constitutional footing. Hendrix permanently blocked federal officials from enforcing the challenged requirements against the plaintiffs and, where applicable, their members and customers, while declining to issue a nationwide injunction.
However, while the plaintiffs had separately argued that the NFA’s registration and approval requirements violated the Second Amendment, Hendrix said that "Efforts to render the NFA constitutional must come from Congress, not this Court."