On April 16, 2025, California Attorney General Rob Bonta filed suit against President Donald Trump on behalf of the state of California and its governor, Gavin Newsom, for Trump’s unlawful imposition of a virtually universal tariff regime. Trump purported to justify tariffs on almost every good coming into the United States by relying on the International Economic Emergency Powers Act (IEEPA) solely because the U.S., with its enormous purchasing power, has trade deficits with most countries. While the IEEPA grants tools such as sanctions to the executive branch in the event of a genuine economic emergency, the Constitution grants the authority to impose tariffs to Congress.

California has the fourth largest economy in the world. As a state, California is the largest importer and second largest exporter in the United States. Trump’s tariffs, ranging from a baseline 10% and extending at one time up to 145% on imports from China, will devastate small businesses in California, harm families, and damage entire economic sectors like agriculture. Trump’s declaring a national emergency because of trade deficits is contrary to the statutory definition of an “emergency,” and his imposition of tariffs is not supported by the IEEPA and violates the constitutional separation of powers.

The state of California requested the federal court to declare the tariff orders unlawful and enjoin the president and his administration from enforcing them. The federal district court dismissed the case on June 2 for lack of jurisdiction, and California appealed to the Ninth Circuit.

The President’s chaotic and haphazard implementation of tariffs is not only deeply troubling, it’s illegal. As the fifth* largest economy in the world, California understands global trade policy is not just a game. Californians are bracing for fallout from the impact of the President’s choices — from farmers in the Central Valley, to small businesses in Sacramento, and worried families at the kitchen table — this game the President is playing has very real consequences for Californians across our state. I am proud to go to bat alongside Governor Newsom to fight for California’s vibrant economy, businesses, and residents. Attorney General Rob Bonta

*California overtook Japan to become the world’s fourth-largest economy in 2024.