US states sue to block Trump tariffs impacting dozens of countries

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📰 source: bbc_business · 💼 business

twenty five us states sued the trump administration on monday over new tariffs of 10% to 12.5% on goods from 60 trading partners. the tariffs took effect in july, hitting countries including the uk, china, and the eu, with washington citing failures to tackle forced labour. the coalition of democratic states called the decision 'arbitrary, capricious, and contrary to law.'

the white house defended the duties, with spokesman kush desai saying the us is using its lawful authority. the tariffs were imposed under section 301 of the 1974 trade act and cover 99.4% of us imports, per the ustr. the lawsuit argues forced labour is a pretext for an illegal tariff scheme. new york governor kathy hochul called them 'a tax on hardworking families,' and oregon's attorney general said 'we're all paying the price... not foreign governments.' brazil and japan called the measures unjustified; china's foreign ministry called them an excuse for political manipulation.

the legal fight follows the supreme court striking down trump's earlier 'liberation day' tariffs, which led to billions in refunds. a temporary 10% global levy expired in july, and new investigations into 16 countries over overcapacity could bring more tariffs.


why it matters: legal challenge adds uncertainty to tariff policy that covers 99.4% of us imports, affecting global trade and costs.


source: bbc_business
sentiment: +0.20 · impact: 0.60

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