Twenty-five states, including Nevada, sued the Trump administration Monday over its latest tariffs, calling them a pretext for replacing import taxes the Supreme Court struck down in February.
The United States last month imposed double-digit tariffs on 59 countries and the European Union, charging that they had not done enough to crack down on imports produced by forced labor. The new tariffs took effect just as the clock ran out on temporary tariffs President Donald Trump had turned to after the Supreme Court defeat.
“After losing at the Supreme Court, the administration is once again trying to illegally raise taxes on families and businesses with a new round of tariffs,” said New York Attorney General Letitia James.
Today, AG Ford joined a coalition of 25 states in filing a third lawsuit challenging the Trump administration’s latest tariffs, arguing they are unlawful and will increase the cost of imports that account for 99.4% of U.S. imports, driving up prices for American consumers. pic.twitter.com/K8bMW579QS
— NV Attorney General (@NevadaAG) August 3, 2026
Trump, who argues that high tariffs will revive American manufacturing, last year overturned decades of U.S. policy that favored lower tariffs and ever-freer trade. Invoking the 1977 International Emergency Economic Powers Act, or IEEPA, he imposed double-digit tariffs on imports from almost every country, saying America’s longstanding trade deficit amounted to a national emergency.
“These illegal tariffs are not paid by foreign governments. They're paid by Nevadan consumers and businesses,” said Nevada Attorney General Aaron Ford. “Families are already feeling the strain of higher prices, and the Trump administration cannot sidestep the law to make that burden even worse. My office will continue fighting to protect Nevadans from unlawful actions that drive up the cost of living and undermine our economy.”
But the Supreme Court ruled that IEEPA did not authorize tariffs. The decision forced the administration to send refunds to importers who’d paid the tariffs. Eager to make up the lost revenue, Trump turned to temporary 10% worldwide tariffs. But they expired at midnight July 24.
Now he’s tapping more durable tariffs under Section 301 of the Trade Act of 1974, which permits the president to impose import taxes and other sanctions against countries found to engage in unfair trade practices. Trump used Section 301 to impose big tariffs on China in his first term, and they survived court challenges.
The administration invoked Section 301 to impose the forced-labor tariffs, which range 10% to 12.5% and hit countries that provide 99% of American imports.
“The United States is using its lawful authority to obtain the elimination of unreasonable acts, policies, and practices that burden U.S. commerce,” White House spokesman Kush Desai said. “A foreign country’s failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor is unreasonable and burdens U.S. commerce, including American workers, and must be addressed. Section 301 tariffs have proven to be a legally durable tool since the President’s first term, and they remain so now.”
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