Another huge legal showdown over tariffs – this time, 25 states say Trump's latest levies are unlawful, and they want them stopped.

Well, here we go again.

Twenty-five states have launched legal action against President Donald Trump’s administration over a fresh wave of tariffs hitting dozens of countries, as reported by cbinews.tv.

According to the White House, the new duties – ranging from 10% to 12.5% – were brought in because trading partners including the UK, China and the European Union have failed to properly tackle forced labour.

But the coalition of Democratic-led states isn’t buying it. In legal documents seen by the BBC, they branded the move “arbitrary, capricious, and contrary to law.”

The White House is pushing back hard. Spokesman Kush Desai said the US is “using its lawful authority” to address practices that burden American businesses, adding that it was “unreasonable” for foreign countries to ignore goods made with forced labour.

The tariffs, which came into effect in July, were imposed under Section 301 of the 1974 US Trade Act – a law designed to target nations that use forced labour. The Office of the US Trade Representative says they cover a whopping 99.4% of US imports.

Desai pointed out that Trump used Section 301 to hit China during his first term and those tariffs survived court challenges. “Section 301 tariffs have proven to be a legally durable tool since the president’s first term, and they remain so now,” he said.

The states suing argue the administration “cannot use forced labour as a pretext to continue its illegal tariff scheme.” They say the duties are so broad they “defy the USTR’s own stated aims and make a mockery of the statute used to justify them.”

They also flagged the speed of the investigation. Last time Trump targeted China under Section 301 back in 2018, officials spent eight months investigating. This time, they say, the probe into 60 trading partners took just two months. “Typically, a Section 301 investigation into even a single economy takes much longer to complete,” the lawsuit argues.

New York Governor Kathy Hochul didn’t mince words: “President Trump's illegal tariffs are nothing more than a tax on hardworking families.”

Oregon Attorney General Dan Rayfield added: “Despite losing every step of the way, Trump is trying yet again to inflict more chaos on working families and homegrown Oregon businesses. We're all paying the price for these unlawful tariffs, not foreign governments.”

Reaction abroad has been frosty too. Brazil and Japan have both called the measures “unjustified”, while China’s foreign ministry spokesperson Mao Ning called them an “excuse for political manipulation.” Washington and Beijing are currently in a pause in their tit-for-tat tariff war.

Some analysts are also sceptical. Alex Capri, a business lecturer at the National University of Singapore, told the BBC the lawsuit will pose a “formidable challenge” to Trump’s levies, noting there’s a lack of credible evidence that countries have harmed US firms by violating forced labour rules.

It’s the latest twist in a long-running saga. Many of Trump’s wide-ranging “Liberation Day” tariffs from April last year were struck down by the US Supreme Court. “The Supreme Court has made it clear that this administration cannot ignore the law to impose sweeping tariffs,” Hochul said. That ruling triggered tens of billions of dollars in refunds.

Those levies were replaced by a temporary 10% charge on all global imports, which expired in July. Trump has long argued tariffs protect American workers and boost the US economy.

And there could be more on the way – the US is currently investigating 16 countries over claims of manufacturing overcapacity.

Credit: cbinews.tv

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