The lawsuit, filed in the district court for the Northern district of California, requests the court to declare the tariffs imposed by Trump void and enjoin their implementation.
California governor Gavin Newsom and the state’s attorney general Rob Bonta have filed a lawsuit in federal court challenging President Donald Trump’s use of emergency powers to enact broad-sweeping tariffs.
The lawsuit requests the court to declare the tariffs imposed by Trump void and enjoin their implementation.
It argues that Trump lacks the authority to unilaterally impose tariffs.
It argues that Trump lacks the authority to unilaterally impose tariffs through the International Economic Emergency Powers Act, creating immediate and irreparable harm to California, the largest economy, manufacturing and agriculture state in the nation, a release from the governor’s office said.
These tariffs have disrupted supply chains, inflated costs for the state and Californians, and inflicted billions in damages on California’s economy, the fifth largest in the world, it noted.
“President Trump’s unlawful tariffs are wreaking chaos on California families, businesses, and our economy—driving up prices and threatening jobs. We’re standing up for American families who can’t afford to let the chaos continue,” Newsom said.
“The President’s chaotic and haphazard implementation of tariffs is not only deeply troubling, it’s illegal. As the fifth largest economy in the world, California understands global trade policy is not just a game,” Bonta said.
“Californians are bracing for fallout from the impact of the President’s choices—from farmers in the Central Valley, to small businesses in Sacramento, and worried families at the kitchen table—this game the President is playing has very real consequences for Californians across our state,” he added.
The lawsuit invokes the US Supreme Court’s major questions doctrine, which holds that in novel matters of vast economic and political significance, federal agencies and the executive branch must have clear and specific authorisation from Congress.
“Every dollar collected in tariff revenue comes straight out of the pockets of American consumers,” Republican Senator Rand Paul from Kentucky said.
“What we have heard from business of all sizes, across all industries, from around the country is that these broad tariffs are a tax increase that will raise prices for American consumers and hurt the economy,” the US Chamber of Commerce observed.
“American consumers could lose between $46 billion and $78 billion in spending power each year if new tariffs on imports to the United States are implemented,” the National Retail Federation noted.
Fibre2Fashion News Desk (DS)