Twenty-five U.S. states have filed a lawsuit against President Donald Trump’s administration over a new round of tariffs imposed on dozens of countries, escalating legal challenges against his trade policies.
The Democratic-led states are challenging tariffs ranging from 10 per cent to 12.5 per cent on imports from countries including the United Kingdom, China and members of the European Union.
In a court filing, the states described the tariff measures as “arbitrary, capricious, and contrary to law,” arguing that the administration exceeded its legal authority.
The tariffs, which took effect in July, were introduced under Section 301 of the 1974 U.S. Trade Act, which allows Washington to respond to certain unfair trade practices, including issues linked to forced labour.
Representative said the measures cover about 99.4 per cent of U.S. imports.
The states accused the administration of using forced labour concerns as a justification for what they called an unlawful tariff programme.
“The tariffs the USTR imposed are so broad that they defy the USTR’s own stated aims and make a mockery of the statute used to justify them,” the lawsuit stated.
New York Governor Kathy Hochul criticised the policy, describing the tariffs as “nothing more than a tax on hardworking families.”
Oregon Attorney General Dan Rayfield also accused the administration of increasing economic uncertainty for businesses and workers.
“We’re all paying the price for these unlawful tariffs, not foreign governments,” Rayfield said.
The White House rejected the allegations, insisting that the administration acted within its legal powers to protect American businesses and workers.
White House spokesman Kush Desai said the US was using its lawful authority to address trade practices that placed unfair burdens on American companies.
Several affected countries have also criticised the measures. Brazil and Japan described the tariffs as unjustified, while China accused Washington of using forced labour concerns as a pretext for political pressure.
Business analysts said the legal challenge could create difficulties for the administration’s tariff strategy.
Alex Capri, a business lecturer at the National University of Singapore, said the lawsuit could present a “formidable challenge” to the tariffs, questioning whether sufficient evidence existed to prove that affected countries had harmed U.S. companies through forced labour practices.
The lawsuit is the latest legal challenge to Trump’s trade policies since his return to office in January 2025.
Trump has consistently defended tariffs as a tool to protect American industries, support workers and strengthen the US economy.
The administration could introduce additional trade measures, with investigations ongoing into 16 countries over allegations of manufacturing overcapacity.
