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California Takes Legal Action Against Trump’s Tariff Policies
In a significant move, California Governor Gavin Newsom declared on Wednesday that the state would initiate legal proceedings aimed at blocking President Donald Trump’s tariff strategies. These policies have sparked volatility in the stock market and led to disturbances in global trade in recent weeks.
“President Trump’s unlawful tariffs are wreaking chaos on California families, businesses, and our economy — driving up prices and threatening jobs,” Newsom stated. “We’re standing up for American families who can’t afford to let the chaos continue.”
The lawsuit will challenge the President’s authority under the International Emergency Economic Powers Act (IEEPA), which he has invoked to impose a 10% tariff on all foreign imports. This statute also permits the President to freeze and obstruct financial transactions with foreign nations in circumstances deemed threatening.
California’s legal team plans to argue not only the illegality of such tariff actions but also that any imposition of tariffs must receive approval from Congress. Governor Newsom is expected to elaborate on the lawsuit in a meeting later that day with California Attorney General Rob Bonta in the Central Valley.
The state aims to obtain an immediate injunction against the enforcement of these tariffs within California. As the largest state economy in the U.S., California faces significant economic repercussions from the tariffs, which Newsom believes have already fueled inflation and inflicted billions in damages.
This announcement follows just over a week after Newsom pledged to uphold “stable trading relationships around the globe” in response to Trump’s tariff plans. Additionally, it was revealed that the governor is exploring “strategic” approaches to persuade other nations to exclude California and its products from retaliatory tariffs and measures.
In response to the growing backlash against his tariffs, Trump has maintained that these actions are necessary to foster “economic independence” for the United States and to boost the domestic production of American goods. The ongoing debate reflects deep divisions within political circles, with both sides voicing concerns about the long-term implications for the nation’s economy.
Source
www.thewrap.com