Twenty-four states challenge Trump global tariffs in court
Twenty-four states sued to block the Trump administration's 10% global tariffs. They argue the duties are illegal and bypass a recent Supreme Court ruling.
A coalition of 24 states in the United States has launched a legal challenge to stop the implementation of President Donald Trump’s latest global tariffs. The lawsuit, led by states including New York, California, and Oregon, alleges that the administration cannot sidestep a recent U.S. Supreme Court ruling that invalidated previous trade duties. The states argue that the newly imposed 10% tariffs, which were established under Section 122 of the Trade Act of 1974, are illegal because that law is intended for short-term monetary emergencies rather than routine trade deficits. This legal action follows the Supreme Court’s February 20 decision which struck down a broad range of tariffs previously imposed under the International Emergency Economic Powers Act. In response to that ruling, the president invoked Section 122, a move the states claim misapplies the balance of payments standard intended to address monetary risks like a sudden depreciation of the dollar. While U.S. Treasury Secretary Scott Bessent indicated that these rates could rise to 15% in the coming days, the states are seeking a court order to block the duties and secure refunds for any payments already collected. The ongoing legal battle adds to the complexity facing the U.S. Court of International Trade, which is currently processing thousands of lawsuits from businesses seeking over $130 billion in refunds. Global companies, including Barrick Gold Corporation, continue to monitor these developments as the administration makes tariffs a central pillar of its foreign and economic policy.
