California sues Trump administration over 'unlawful tariffs'

California Governor Gavin Newsom announced on Wednesday that the western US state, which has the largest economy in the nation, is suing the Donald Trump administration over the president's sweeping "unlawful tariffs" on international trading partners, reported Xinhua.

"President Trump's unlawful tariffs are wreaking chaos on California families, businesses, and our economy - driving up prices and threatening jobs," Newsom said in a statement, adding that "We're standing up for American families who can't afford to let the chaos continue."

"Trump does not have the authority to impose these destructive and chaotic tariffs. America stands to lose too much," said the governor in a post on the X platform.

"We're taking him to court," said the governor.

Newsom said California is the largest manufacturing state in the union, and one of the largest trading partners around the globe.

"No state will be impacted more than the state of California as it relates to the unilateral authority that's been asserted by the Trump administration to impose the largest tax increases in modern American history," he noted.

Newsom pointed out that "In America, 40 percent of goods movements in this country come through two ports of entry in California. About 50 percent of that from China itself."

In the lawsuit, expected to be filed in the US District Court for the Northern District of California, California officials will argue that the law, known as the International Emergency Economic Powers Act, which Trump cited to impose the tariffs, does not grant him the ability to unilaterally adopt those tariffs.

California, also the most populous US state, is the first state in the nation to sue the Trump administration on tariffs.

The Golden State is the largest importer among all US states, with more than US$675 billion (almost RM3 trillion) in two-way trade supporting millions of jobs throughout the state.

Mexico, Canada, and China are California's top three export destinations, buying nearly US$67 billion in California exports, which was over one-third of the state's US$183 billion in exported goods in 2024, according to the data released by the governor's office.

- Bernama

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