US businesses filed a lawsuit against the administration of President Donald Trump just hours after tariffs of 10 to 12.5 percent on goods from about 60 economies took effect, accusing the government of exceeding its authority under Section 301 of the Trade Act of 1974. Spice importer Burlap & Barrel Inc. and watch importer Collective Horology LLC filed the suit in the US Court of International Trade in New York City, arguing that the government failed to provide country-specific evidence of unfair or discriminatory practices, and that the measures are arbitrary and violate the Administrative Procedure Act. Moreover, if Section 301 can be interpreted so broadly, it may conflict with the US Constitution, which grants Congress the power to levy taxes. The case is backed by the Liberty Justice Center, which has previously challenged Trump's tariff actions.
Plaintiff in lawsuit challenging tariffs, which if successful could reduce import costs.
Plaintiff in lawsuit challenging tariffs, which if successful could reduce import costs.