Twelve states sue the Trump administration over ‘tax hikes' through tariffs
Twelve states sued the Trump administration Wednesday for 'illegally imposing' tax hikes on Americans through tariffs.
Trump imposed the tariffs through the International Emergency Economic Powers Act (IEEPA), which gives the president the authority to enact those powers in response to unusual and extraordinary threats. The lawsuit seeks a court order to halt the tariffs under IEEPA, saying Trump does not have the authority he claims he does.
'In the nearly five decades since IEEPA was enacted, no other President has imposed tariffs based on the existence of any national emergency, despite global anti-narcotics campaigns spearheaded by the United States and longstanding trade deficits,' the lawsuit argued.
While Congress passed IEEPA, 'Congress never intended it to be used for tariffs,' the suit reads.
In a statement, White House spokesperson Kush Desai called the legal action a 'witch hunt' and said: 'The Trump Administration remains committed to using its full legal authority to confront the distinct national emergencies our country is currently facing—both the scourge of illegal migration and fentanyl flows across our border and the exploding annual US goods trade deficit.'
The coalition of states joins other groups that have sued the Trump administration on tariffs. A group of small US businesses filed a lawsuit last week over the administration's authority to impose tariffs, and New Civil Liberties Alliance (NCLA), a civil rights group, filed a complaint on similar grounds earlier in April.
In response to the small business lawsuit, White House spokesperson Harrison Fields previously said that trade deficits with other countries constitute a 'national emergency.'
The lawsuit is filed by the attorneys general of New York, Arizona, Colorado, Connecticut, Delaware, Illinois, Maine, Minnesota, Nevada, New Mexico, Oregon and Vermont.
'Donald Trump promised that he would lower prices and ease the cost of living, but these illegal tariffs will have the exact opposite effect on American families. His tariffs are unlawful and if not stopped, they will lead to more inflation, unemployment, and economic damage,' New York Attorney General Letitia James said in a press release.
The lawsuit, which was filed in the United States Court of International Trade, also seeks a court order to halt the impending worldwide reciprocal tariffs that were paused earlier in April. The coalition also argued that Trump has violated the Constitution and the Administrative Procedure Act.
Last week, California announced its own lawsuit against the Trump administration, also arguing the Trump administration lacked the authority to impose the tariffs and claiming it has caused 'irreparable harm to California, its Governor, and its residents.'
Matthew Kaufman contributed to this report.
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