Golden State Today

California Attorney General Rob Bonta and Governor Gavin Newsom filed a lawsuit against the Trump Administration, challenging the President's decision to impose tariffs using the International Emergency Economic Powers Act of 1977 (IEEPA). These tariffs have been enforced through a series of executive orders without congressional consent, leading to significant economic ramifications.

The lawsuit argues that the IEEPA does not authorize the President to levy tariffs, which are projected to reduce the U.S. economy by at least $100 billion annually, increase inflation by 1.3%, and cost the average American family $2,100. California, the largest importer and second-largest exporter in the U.S., anticipates substantial negative impacts due to its dependency on goods affected by these tariffs. The agricultural sector, in particular, could face retaliatory tariffs from other countries.

Attorney General Bonta described the tariffs as "chaotic and haphazard," adding that "as the fifth largest economy in the world, California understands global trade policy is not just a game." Governor Newsom also expressed concern, stating, "President Trump’s unlawful tariffs are wreaking chaos on California families, businesses, and our economy." Both state leaders emphasized the detrimental effects on California's economy and residents.

President Trump's actions have already caused significant disruptions, including a major two-day loss in the U.S. stock market. His tariff measures have incited a trade war with China and imposed specific tariffs on nearly 90 countries. The lawsuit aims to halt the enforcement of these tariffs, asserting that the Constitution grants Congress the authority to impose tariffs, not the President.

The complaint filed seeks a court declaration that the tariffs imposed under the IEEPA are unlawful and requests that the Department of Homeland Security and Customs and Border Patrol cease their enforcement. The copy of the complaint is publicly available.