More than 20 US states sue Trump administration over tariffs.
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A group of US states has launched a legal challenge against President Donald Trump’s latest tariffs, arguing the new import taxes are unlawful. The lawsuit comes after the Supreme Court previously struck down an earlier version of the tariffs.
Officials behind the case say the new measures could increase costs for businesses and consumers across the country.
Legal challenge
The lawsuit has been filed by 24 states, led by New York Attorney General Letitia James.
According to the complaint, the states argue that Trump does not have the authority to impose the tariffs under the legal provision he is using.
They are asking the court to block the tariffs and to reimburse states for costs linked to the policy.
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The legal action follows Trump’s earlier “Liberation Day” tariffs, which targeted numerous countries with rates ranging from 10 percent to 50 percent.
Supreme Court ruling
Less than a year after those tariffs were introduced, the US Supreme Court ruled that the policy was unlawful.
Judges said the administration’s claim of a “national emergency” did not justify the sweeping import taxes.
Following that decision, the Trump administration turned to another legal mechanism to introduce new tariffs.
Under Section 122 of the Trade Act of 1974, the president can impose temporary tariffs for up to 150 days unless Congress approves an extension.
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New tariffs planned
Trump is now seeking to introduce tariffs of 15 percent on imports from most countries using that law.
According to CNBC, the new tariffs could take effect as early as this week.
Meanwhile, 10 percent tariffs have already been imposed and began on February 24, shortly after the Supreme Court ruling.
The administration says the measures are needed to reduce the United States’ long-standing trade deficit.
States push back
State leaders involved in the lawsuit argue the law is being misused.
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James said in a statement: “Once again, President Trump is ignoring the law and the constitution to effectively raise taxes on consumers and small businesses.”
“The president is causing more economic chaos and expecting Americans to foot the bill. These tariffs will only drive up the cost of living, and I will continue to uphold the rule of law to protect New Yorkers.”
Oregon Attorney General Dan Rayfield also criticised the policy, saying the priority should be compensating people affected by previous tariffs.
“The focus right now should be on paying people back, not doubling down on illegal tariffs,” he said.
States involved
The lawsuit includes attorneys general from Colorado, Connecticut, Delaware, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, North Carolina, Rhode Island, Vermont, Virginia, Washington and Wisconsin.
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The governors of Kentucky and Pennsylvania have also joined the legal challenge.
Sources: CNBC, statements from state attorneys general