California Governor Gavin Newsom announced Wednesday that the state will file a lawsuit against U.S. President Donald Trump’s use of emergency powers to impose sweeping tariffs that have triggered a global trade war.
The suit challenges Trump’s application of the International Emergency Economic Powers Act to justify tariffs on Mexico, Canada, China, and potentially all imports. Newsom argues the law does not authorize such actions and accuses the administration of bypassing congressional approval.
California becomes the first state to take legal action, joining previous suits from businesses and civil liberties groups. Newsom claims the tariffs have driven up prices, hurt local industries, and caused billions in economic damage, particularly impacting California’s massive export and agriculture sectors.
The lawsuit, to be filed in the U.S. District Court for the Northern District of California, also addresses the disproportionate harm done to trade relations with Canada. With $53 billion in annual two-way trade, Canadian-owned firms support 90,000 California jobs. The tariffs have already led to retaliation, including the removal of California wines from Canadian liquor store shelves.
California, with a GDP rivaling major nations, heavily relies on trade with both Canada and Mexico. Newsom emphasized the state’s independent economic identity and urged Canadians to resume travel and trade, launching a tourism campaign to rebuild ties.
This legal move underscores renewed tensions between California and the Trump administration over a range of policies from trade and the environment to reproductive rights and immigration.
Source: Swifteradio.com
