- Twenty-five states sued the Trump administration Monday over its latest tariffs, calling them a pretext for replacing import taxes the Supreme Court struck down in February.
- The United States last month imposed double-digit tariffs on 59 countries and the European Union, charging that they had not done enough to crack down on imports produced by forced labor.
- The new tariffs took effect just as the clock ran out on temporary tariffs President Donald Trump had turned to after the Supreme Court defeat.
- New York Attorney General Letitia James stated, 'After losing at the Supreme Court, the administration is once again trying to illegally raise taxes on families and businesses with a new round of tariffs.'
- The states are asking the US Court of International Trade to halt the tariffs, declare them unlawful and order refunds of duties that have already been paid.
Twenty-five states, led by New York and California, have filed a lawsuit against the Trump administration over newly imposed tariffs on 60 trading partners, which they argue are a pretext for illegal tax increases following a Supreme Court ruling that invalidated previous tariffs.1
The tariffs, which range from 10% to 12.5%, were implemented under Section 301 of the Trade Act of 1974, targeting countries accused of using forced labor. New York Attorney General Letitia James stated, “After losing at the Supreme Court, the administration is once again trying to illegally raise taxes on families and businesses with a new round of tariffs.” The lawsuit seeks to halt the tariffs, declare them unlawful, and demand refunds for duties already paid.
The states involved, including Arizona, California, and Illinois, argue that the tariffs affect 99.4% of U.S. imports, impacting major trading partners like Canada, Japan, and China. The administration's justification for the tariffs, citing a national emergency due to trade deficits, has been challenged in court. “No matter how the administration tries to justify it, the law and our Constitution are clear that the president does not have the power to impose sweeping tariffs on whatever countries he wants,” James added.5
The lawsuit follows other legal challenges from small businesses contesting the tariffs, which they claim lack adequate justification under Section 301. Legal experts suggest that the administration's repeated attempts to impose similar tariffs could complicate their defense in court.
As the legal battle unfolds, the implications of these tariffs on American consumers and businesses remain a critical concern, with New York Governor Kathy Hochul warning that they will drive up costs for essential goods.
“New York Attorney General James said the administration is 'once again trying to illegally raise taxes on families and businesses'; states seek to halt the tariffs, declare them unlawful, and refund duties already paid. Section 301 duties, imposed on 59 countries and the European Union, cover 99.4% of U.S. imports.”
theglobeandmail.com
The Guardian
