Delaware, other 'blue' states sue Trump Administration over tariff moves

Other plaintiffs in the lawsuit include Arizona, Colorado, Connecticut, Illinois, Maine, Minnesota, Nevada, New Mexico, New York, Oregon, and Vermont. California, the nation's largest state economy, filed a separate lawsuit. States with Democrats as attorneys general have sued the Trump Administration numerous times in recent weeks.

"The Trump administration tariffs are a gross abuse of power, economically misguided, and enacted without regard for the long-term consequences to Americans," said Gov. Matt Meyer. "Tariffs are taxes, plain and simple. And these particular taxes were levied illegally and without a coherent strategy. Lawsuits are a necessary check on executive overreach. I am in full support of Attorney General Jennings' efforts to protect Delawareans." 

The Trump tariffs impose a 145 percent tariff on most products from China, a 25 percent tariff on most products from Canada and Mexico, and a 10 percent tariff on most products from the rest of the world. The lawsuit also  challenges President Trump's plan to raise import tariffs from 46 other trading partners on July 9. 

The administration claims that it will negotiate with individual nations on trade deals and expressed optimism that negotiations will be successful with China. It further argues that the trade barriers will bring jobs back to the U.S.

Trump's tariff "Liberation Day" has triggered turmoil in financial markets. The President has since exempted electronic goods and other items from the heaviest tariffs.

A release from the Attorney General's office added the following on imports and exports.

• Delaware imported more than $10 billion of goods and exported nearly $5 billion in goods in 2024 
• Nearly 90% of the firms exporting goods in 2022 were small and medium-sized enterprises (SMEs) employing less than 500 employees. 
• Trade supports tens of thousands of Delaware jobs: roughly 36,000 Delaware jobs are supported by foreign-owned firms investing in the United States, and roughly 17,000 are supported by Delaware's export economy. 

 The release reported that studies of the tariffs President Trump issued in his first term indicate that Americans pay 95 percent of the cost of tariffs.

The Federal Reserve and the International Monetary Fund have warned  that the round of tariffs will lead to an uptick  inflation. 

 Trump imposed the tariffs under the International Emergency Economic Powers Act, claiming that a state of emergency exists.

The release from the Delaware AG's office stated that no president had imposed the law's provisions until Trump did so  in in his second term.