California files injunction against Trump's trade tariffs

Governor Gavin Newsome | Facebook Website

California has taken legal action against the Trump Administration, seeking a preliminary injunction to halt tariffs imposed by former President Donald Trump. Governor Gavin Newsom and Attorney General Rob Bonta announced the filing of this motion as part of a broader lawsuit challenging the legality of these tariffs.

The state argues that the tariffs, enacted under emergency powers, are causing significant economic harm. They project costs to California consumers at $25 billion and potential job losses exceeding 64,000. Overall, households could face costs upwards of $40 billion due to these tariffs.

Governor Newsom stated, "President Trump has overstepped his authority, and now families, businesses, and our ports are literally paying the price." He emphasized California's vulnerability given its status as the largest economy in the nation.

Attorney General Bonta highlighted concerns about rising living costs and economic instability: “Last fall, Americans at the voting booth demanded lower prices. Now, Trump’s chaotic tariff war is threatening to skyrocket the cost of living for families...”

California's economy is significantly impacted by these tariffs. The state's GDP was $4.1 trillion in 2024. As a major agricultural producer and manufacturing hub with over 36,000 firms employing more than 1.1 million people, California plays a crucial role in national economic growth.

Trade activities amounting to nearly $675 billion were conducted by California companies in 2024 alone. The state's ports are experiencing adverse effects from tariff policies. A mere 1% decline in cargo at key ports like Los Angeles and Long Beach could result in substantial job losses.

The fiscal impact on California includes an expected loss of $7.8 billion in tax revenue due to decreased personal income tax collections and other factors related to tariffs' effects on taxpayers.

Additionally, state services face challenges due to increased costs for essential goods procured through contracts with vendors outside the U.S., such as pharmaceuticals and medical supplies.

In parallel with this injunction request, California plans to file an amicus brief supporting Oregon v. Trump—a case contesting similar tariff impositions—at the Court of International Trade.