Trump sued hours after new tariffs take effect, as experts say they may not hold up
📰 source: cnbc_topnews · 💼 business
hours after trump's new tariffs on goods from over 80 countries took effect, two small businesses sued, arguing the administration is using section 301 as a pretext to re-create the global tariff regime that the supreme court struck down in february. the tariffs, imposed under section 301 of the trade act of 1974, target trade partners covering 99.4% of us trade, citing forced labor practices. experts are divided: some say the statute wasn't designed for wholesale tariff rewrites and will likely be struck down, while others point to the law's flexibility and the administration's procedural compliance. a previous global tariff attempt under ieepa was invalidated by the supreme court, and the new suit contends this is an unlawful end-run. the legal battle will take time, creating uncertainty for businesses.
why it matters: legal challenge threatens trump's latest tariff regime, potentially disrupting trade-dependent sectors and supply chains.
source: cnbc_topnews
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