Oregon Leads Lawsuit Filed by 12 Attorneys General to Block Illegal Tariffs that are Increasing Prices and Inflicting Chaos on the American Economy
Attorney General Dan Rayfield today filed a multi-state lawsuit to block President Trump’s illegal tariffs. The case challenges four of President Donald Trump’s executive orders that claim the power to increase tariffs worldwide without congressional action.
“When a president pushes an unlawful policy that drives up prices at the grocery store and spikes utility bills, we don’t have the luxury of standing by – especially when so many Oregonians live on fixed incomes,” said Rayfield. “These tariffs hit every corner of our lives – from the checkout line to the doctor’s office – and we have a responsibility to push back.”
The lawsuit challenges President Trump’s executive orders calling for higher tariffs on most products worldwide. These tariffs impose a 145 percent tariff on most products from China, a 25 percent tariff on most products from Canada and Mexico, and 10 percent tariffs on most products from the rest of the world. It also challenges President Trump’s plan to raise tariffs on imports from 46 other trading partners on July 9.
Studies of the tariffs President Trump issued in his first term show that 95 percent of the cost of tariffs are paid by Americans. The Federal Reserve and the International Monetary Fund project that this round of tariffs will cause inflation.
Experts also estimate that in Oregon, the tariffs will raise the cost of living for the average family by more than $3,800 a year. This essentially imposes a sales tax on citizens of the state, something that Oregonians have voted down for years. Ann Donaca is her son Cody Sullivan’s personal support worker. He has Down Syndrome and has not been able to find a job, and Ann said these tariffs are causing more suffering for her family and others.
“We are already living hand to mouth and now we are experiencing debt. The life preserver of all the people getting rich through cuts and tariffs is not happening for us. We, the people, are sinking,” Donaca said.
The owner of Brooklyn Pharmacy in Portland said drug prices could rise by 15% or more.
“There will be a significant rise in medication costs for pharmacies and patients,” said Brooklyn Pharmacy owner Pat Hubbell. “Families already struggle to afford their prescriptions, and local pharmacies will perish at an even faster rate due to the higher cost of medications. This is devastating.”
Under Article I of the Constitution, only Congress has the “Power To lay and collect Taxes, Duties, Imposts and Excises.” The executive orders cite the powers granted by the International Emergency Economic Powers Act (IEEPA), but that law applies only when an emergency presents “unusual and extraordinary threat” from abroad and does not give the President the power to impose tariffs. Congress enacted IEEPA in 1977. No President had imposed tariffs based on IEEPA until President Trump did so this year.
The case is entitled State of Oregon, et al., v. Trump, et al. and was filed in the U.S. Court of International Trade.
The case is led by Oregon Attorney General Dan Rayfield and Arizona Attorney General Kris Mayes. Also joining the lawsuit are the attorneys general of Colorado, Connecticut, Delaware, Illinois, Maine, Minnesota, Nevada, New Mexico, New York and Vermont.