Twenty five Democratic-led U.S. states sued the Trump administration Monday over new tariffs on goods from 60 trading partners, arguing the administration is using an old trade law to revive duties already struck down in court. The lawsuit asks the U.S. Court of International Trade to block the tariffs and refund what the states have already paid.
Twenty five Democratic-led U.S. states sued the Trump administration on Monday, arguing the president exceeded his legal authority by imposing tariffs of 10% or 12.5% on goods from 60 trading partners. The states say the administration is using Section 301 of the Trade Act of 1974 to revive tariffs that the Supreme Court and the U.S. Court of International Trade already struck down. The complaint asks the court to block the tariffs and refund duties the states have already paid.
States dispute the forced-labor justification
The administration imposed the tariffs on July 24 on goods from 60 economies, including the European Union. Together, those economies account for 99.4% of U.S. imports. The administration justified the duties by alleging the countries were not doing enough to stop the export of goods made with forced labor. But the states argue the administration rushed the investigations, skipped required country-specific consultations and never explained why nearly uniform rates should apply to countries with widely different forced-labor import policies.
Oregon, New York and the other states involved all have Democratic attorneys general or governors. According to Reuters, Oregon Attorney General Dan Rayfield said in a statement: "Trump is trying yet again to inflict more chaos on working families".
A third attempt after a Supreme Court defeat
Monday's suit follows a setback for the administration. The Supreme Court ruled on February 20 that the International Emergency Economic Powers Act does not authorize the president to unilaterally impose tariffs, striking down most of Trump's broadest tariffs. Trump then escalated the trade fight, calling the justices disloyal and issuing new temporary 10% tariffs under a different authority — duties the Court of International Trade also ruled illegal, though they stayed in effect while the administration appealed.
Section 301 has been used by past presidents, but the states say it was historically aimed at specific nations and industries, not a blanket global levy. A group of small businesses sued over the tariffs the day the duties took effect last month, making a similar argument. The White House did not immediately respond to a request for comment.
Sources: CNBC, Investing.com
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