Judge Faces Trump Tariffs Showdown Over New 10% Global Import Tax
A new federal court battle is underway over President Donald Trump’s latest tariffs, just weeks after the Supreme Court struck down his previous trade policy.
More than 20 states have filed a lawsuit targeting a 10% global import tax imposed in February, arguing the administration is bypassing constitutional limits on taxing authority.
According to Reuters and the Associated Press, the tariffs were issued the same day the Supreme Court ruled Trump lacked authority under emergency law, prompting an immediate shift to a different statute.
That switch is now at the center of the legal fight, with states arguing Section 122 of the Trade Act does not allow sweeping global tariffs and improperly sidesteps Congress.
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“The president does not have the power to raise taxes on a whim,” New York Attorney General Letitia James said in the filing.
The stakes extend beyond the courtroom, as economists say tariffs have already increased import costs, contributed to inflation pressures, and disrupted global supply chains, while businesses face uncertainty over pricing and investment.
At the same time, courts are processing roughly 2,000 claims seeking more than $130 billion in refunds tied to earlier tariffs, adding financial pressure to the dispute.
The case now heads through the U.S. Court of International Trade, where a ruling could determine whether the latest tariffs stand or trigger another rollback.
The outcome may redefine presidential power over global trade.
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