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SACRAMENTO (Web Desk) The state of California has launched a major legal challenge against the Trump administration, accusing President Donald Trump of unlawfully imposing sweeping tariffs that have wreaked havoc on global markets and jeopardised the state's economy.
Governor Gavin Newsom and Attorney General Rob Bonta announced the lawsuit on Wednesday, arguing that the tariffs, enacted under the International Emergency Economic Powers Act (IEEPA), overstep presidential authority and violate the US Constitution, which grants Congress the power to regulate trade and impose tariffs.
Newsom called the tariffs “the worst own-goal in the history of this country,” warning that California, America’s largest state economy, is most at risk. The state has filed a lawsuit in the Northern District Court of California seeking an immediate injunction, citing billions in potential losses, disrupted trade, and retaliatory actions from countries like China.
“This is crony capitalism disguised as economic policy,” said Newsom, who is widely expected to be a contender for the 2028 presidential race. “The president does not have the authority to act unilaterally in this way. He must be held accountable.”
The White House has dismissed the suit, with spokesperson Kush Desai criticising Newsom for prioritising “political grandstanding” over state-level issues such as crime and homelessness.
California’s legal move adds to a growing number of challenges against the Trump administration’s trade policies, with legal experts suggesting the former president’s use of emergency powers may not withstand judicial scrutiny.