More than 20 states sue over new global tariffs Trump imposed after his stinging Supreme Court loss
Source: Associated Press
By LINDSAY WHITEHURST and PAUL WISEMAN
Updated 1:22 PM EST, March 5, 2026
WASHINGTON (AP) Some two dozen states challenged President Donald Trumps new global tariffs on Thursday, filing a lawsuit over import taxes he imposed after a stinging loss at the Supreme Court.
The Democratic attorneys general and governors in the lawsuit argue that Trump is overstepping his power with planned 15% tariffs on much of the world.
Trump has said the tariffs are essential to reduce Americas longstanding trade deficits. He imposed duties under Section 122 of the Trade Act of 1974 after the Supreme Court struck down tariffs he imposed last year under an emergency powers law.
Section 122, which has never been invoked, allows the president to impose tariffs of up to 15%. They are limited to five months unless extended by Congress.
Read more: https://apnews.com/article/global-15-tariffs-trump-lawsuit-2247451a7cbc9b8283c4574e3ee54537
muriel_volestrangler
(106,025 posts)There's a difference between a balance-of-payments deficit, which that law is for, and a trade deficit, which it isn't.
OKIsItJustMe
(21,755 posts)How long was it before SCotUS struck down the others?
LetMyPeopleVote
(178,424 posts)The lawsuit accuses the president of trying to sidestep a Supreme Court ruling that overturned many of his previous levies.
Link to tweet
https://www.washingtonpost.com/politics/2026/03/05/tariffs-lawsuit-democrats
The suit is led by the Democratic attorneys general from Oregon, New York, California and Arizona along with attorneys general from 18 other states.
They accused Trump of trying to sidestep a February Supreme Court ruling that overturned many of his tariffs by using a different statute, Section 122 of the Trade Act of 1974, as justification for new tariffs.
The President is attempting to use an obscure law as a tool for his tariffs, and is yet again, going about it illegally, California Attorney General Rob Bonta said in a statement.....
Trump turned to Section 122 after the Supreme Court struck down his original slate of widespread tariffs under the 1977 International Emergency Economic Powers Act. In a 6-3 ruling, the court determined there was nothing in the 1977 law to authorize Trumps tariffs.
LetMyPeopleVote
(178,424 posts)trump's new replacement tariffs are illegal. These tariffs can only be used when there is a balance-of-payments deficit which is very different from a balance of trade deficit. Since the US is no longer on a currency fixed exchange rate there have not been any balance of payment deficits for a couple of decades. These tariffs will be challenged and trump will lose again
Fascinating National Review post on Trump's latest Tariff gambit. Archive link here (it's pay walled, please don't give them money lol)
— Rude Law Dog (@esghound.com) 2026-02-21T19:01:57.437Z
archive.is/r4Xdf
https://www.nationalreview.com/corner/trumps-section-122-tariffs-are-illegal/
A trade deficit between the U.S. and a foreign nation occurs, mainly in connection with goods (which is just one aspect of international commerce), when imports are greater than exports. This is not really a problem for a variety of reasons � e.g., a trade deficit results in an investment surplus, the U.S. is a major services economy and often runs exported services surpluses that mitigate the imports deficit in goods, etc.
The balance of payments is a broader concept than the balance of trade. It accounts for all the economic transactions that take place between the United States and the rest of the world. Even without getting into every kind of transaction that entails, suffice it to say that foreign investment in the United States, coupled with the advantages our nation accrues because the dollar is the world�s reserve currency, more than make up for the longstanding trade deficit in goods.
Our overall payments are in balance. There is no crisis.
It�s vital to understand why Section 122 was enacted. There was a financial crisis in the late 60s and early 70s under the Bretton Woods system, when the dollar was tied to gold. Foreign countries that held dollar reserves could exchange them for gold at a fixed rate. Meanwhile, our government was spending at a high clip due to the Vietnam War and Great Society programs. This and the obligation to pay out gold put enormous pressure on the dollar. In response, in 1971, President Nixon severed the dollar�s tie to gold and � as several justices recounted in Friday�s Learning Resources opinions � imposed a temporary 10 percent import surcharge (a tariff) to stabilize the economy......
There is no rationale under Section 122 to impose tariffs. Because President Trump has no unilateral authority to order tariffs, he must meet the preconditions of Section 122 to justify levying them. He cannot. Not even close.
OKIsItJustMe
(21,755 posts)You see, we can protest as much as we like that these tariffs are illegal (just as the previous ones were.) PotUS doesnt care. He puts them in place, and they stand for now.
Was the invasion of Venezuela legal? Who cares⁉️ Its done. Was the attack on Iran legal? (How about the one last year?) It doesnt matter. Its history now.
Its really no different than the East Wing of the White House; it really doesnt matter what a court decides, as to whether he acted legally or not; the East Wing is gone.
This is really nothing new for this man.
https://prn.library.cornell.edu/?a=d&d=PRN19800701.1.2