States Challenge Trump's 'Liberation Day' Tariffs in Federal Court
Twelve U.S. states, led by Democratic attorneys general, are challenging President Trump's imposition of 'Liberation Day' tariffs. They argue that Trump overstepped by using the International Emergency Economic Powers Act (IEEPA) to justify tariffs as a national emergency. The states assert that the trade deficit doesn't qualify as an 'emergency'.
A coalition of twelve U.S. states is taking a stand against President Donald Trump's recent tariffs, termed 'Liberation Day' tariffs, by appealing to a federal court. The states contend that Trump exceeded his presidential powers by declaring a national emergency to justify blanket tariffs on imports from nations with a trade surplus with the U.S.
The lawsuit, spearheaded by Democratic attorneys general from states including New York, Illinois, and Oregon, argues that the president misapplied the International Emergency Economic Powers Act (IEEPA). This law is intended to counter 'unusual and extraordinary' threats, not to regulate trade whimsically. Oregon's attorney, Brian Marshall, stated that IEEPA demands actions be linked to a specific emergency, not just used for leverage.
The Union argues that the U.S. trade deficit is not an emergency and the IEEPA does not sanction tariffs. Trump's tariffs, notably affecting China, Mexico, and Canada, have disrupted markets, posing multiple legal challenges. The Justice Department contends the states' claims are speculative, asserting that only Congress can question a national emergency declaration under IEEPA.
(With inputs from agencies.)
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