In a decisive bid to shield its economy from soaring import costs, California filed a motion on Tuesday asking a federal court to immediately block President Donald Trump's sweeping tariffs while a legal challenge proceeds.
Governor Gavin Newsom and Attorney General Rob Bonta claim the "illegal tariffs" threaten a $25 billion hit to consumers and could cost more than 64,000 jobs across the state. Bonta warned, "Last fall, Americans demanded lower prices. Now, Trump's chaotic tariff war is threatening to skyrocket the cost of living for families, lower wages, slash jobs, and throw business owners and innovators into a spiral of uncertainty."
The lawsuit, filed in the U.S. District Court for the Northern District of California, centers on whether the president exceeded his authority under the International Emergency Economic Powers Act by imposing import taxes without congressional approval. Newsom added, "As the largest economy in the nation, California has the most to lose from President Trump's weak and reckless policies."
State officials say financial projections for 2025–2026 now factor in increased unemployment and near-term inflation directly linked to the tariff-related uncertainty. Local small businesses, especially those owned by Latino entrepreneurs, report outsized hardship as supply chains face new disruptions. "Tariffs are driving up costs and disrupting supply chains," said Cathy Rodriguez-Aguirre, president of the Sacramento Hispanic Chamber of Commerce.
California’s agricultural sector is also straining under retaliatory tariffs from U.S. trading partners. With no hearing date set yet, legal experts say the case may reach the U.S. Supreme Court, raising important questions about the scope of executive power in trade policy.
Meanwhile, five small businesses have filed a parallel challenge in the U.S. Court of International Trade in New York, arguing that declaring a national emergency to impose across-the-board tariffs is an unprecedented and unlawful expansion of presidential authority.
As this high-stakes battle unfolds, young global citizens and entrepreneurs should watch closely: the outcome could reshape how governments balance emergency powers and market stability in an interconnected world.
Reference(s):
California seeks emergency halt to Trump tariffs as harm mounts
cgtn.com