A coalition of small businesses has filed a lawsuit against President Donald Trump, challenging his recent tariffs on foreign imports. The businesses argue that these tariffs are unconstitutional and threaten their survival. The lawsuit filed Monday (April 14) in the U.S. Court of International Trade, disputes Trump's claim that trade deficits constitute a national emergency. The plaintiffs, represented by the Liberty Justice Center, assert that trade deficits, which have existed for decades without causing harm, do not justify the use of emergency powers.
The legal action targets Trump's reliance on the International Emergency Economic Powers Act (IEEPA) to impose tariffs without congressional approval. The plaintiffs argue that the IEEPA does not grant the president authority to unilaterally impose such tariffs. The lawsuit demands that the court declare Trump's actions illegal and uphold the principle of "no taxation without representation."
Among the businesses involved in the lawsuit are Terry Precision Cycling from Vermont, VOS Selections from New York, FishUSA from Pennsylvania, Genova Pipe from Utah, and MicroKits LLC from Virginia. These companies claim that the tariffs are causing significant financial harm, with Terry Precision Cycling forecasting $1.2 million in additional tariff expenses by 2026.
The lawsuit emphasizes the broader implications of unchecked executive authority in trade policy, arguing that it threatens the constitutional balance of power. The Washington Times reports that some lawmakers are also pushing resolutions to nullify Trump's powers in this case.
Despite the legal challenges, the White House maintains that the tariffs are necessary to address trade deficits and support American businesses and workers. President Trump argues that tariffs will encourage companies to return to the U.S. and create jobs, although critics warn of potential disruptions and higher consumer prices.