US states sue Trump administration over new global tariffs

Twenty-five US states sued President Donald Trump's administration Monday over its latest tariffs, saying they were a pretext for replacing import taxes struck down by the Supreme Court in February.

The United States imposed double-digit tariffs on 59 countries plus the European Union last month, accusing them of not doing 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 Trump had turned to after the Supreme Court defeat.

What did the 25 states say in their lawsuit against Trump tariffs?

"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," said New York Attorney General Letitia James, launching the lawsuit.

"Despite losing every step of the way, Trump is trying yet again to inflict more on working families and homegrown businesses," added Oregon Attorney General Dan Rayfield.

Joining New York and Oregon in the legal action were the Democratic-led states of Arizona, California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Kentucky, Massachusetts, Maryland, Maine, Michigan, Minnesota, New Jersey, New Mexico, North Carolina, Pennsylvania, Rhode Island, Virginia, Washington and Wisconsin – plus Republican-led Nevada and Vermont.

"There is no rational fit between the purported problem of forced labor in international supply chains and the blanket global tariffs," the coalition of states argued in their court filing.

White House insists Trump tariffs are legal

Since taking office for his second term, Trump has argued that US trading partners have been taking advantage of the world's largest economy, and has sought to use tariffs as leverage to strike new trade deals.

His administration has upended global trade by imposing wide-ranging tariffs – often at eye-watering levels – against Washington's friends and foes alike.

The latest tariffs, invoked under Section 301 of the Trade Act of 1974, range from 10% to 12.5% and hit countries that account for 99% of American imports.

"The Tariff Action is arbitrary, capricious and contrary to law," the lawsuit said, but the White House hit back, insisting that the government move was legal.

"The United States is using its lawful authority to obtain the elimination of unreasonable acts, policies, and practices that burden US commerce," said White House spokesman Kush Desai.

"A foreign country's failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor is unreasonable and burdens US commerce, including American workers, and must be addressed."