A coalition of 24 states sued the Trump administration Thursday in the U.S. Court of International Trade, challenging sweeping new global tariffs imposed shortly after the Supreme Court invalidated the president's earlier tariff regime.

The lawsuit, led by Democratic attorneys general from New York, Oregon, Arizona, and California, argues that President Donald Trump misused Section 122 of the Trade Act of 1974 to enact the tariffs. That provision allows the president to impose up to 15% tariffs for 150 days to address balance-of-payments deficits, but the states contend it applies only to narrow circumstances and not broad trade deficits. They called the move an illegal end-run around the Supreme Court's ruling and a violation of the separation of powers.

The states involved include Oregon, Arizona, California, New York, Colorado, Connecticut, Delaware, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, North Carolina, Rhode Island, Vermont, Virginia, Washington, and Wisconsin, along with the governors of Kentucky and Pennsylvania. The suit claims the tariffs will raise costs for states, businesses, and consumers and sow economic chaos.

The legal action follows a 6-3 Supreme Court decision on February 20 that struck down Trump's prior global tariffs imposed under the International Emergency Economic Powers Act (IEEPA). Chief Justice John Roberts wrote the majority opinion, joined by Justices Neil Gorsuch, Amy Coney Barrett, Sonia Sotomayor, Elena Kagan, and Ketanji Brown Jackson, ruling that IEEPA does not authorize tariffs because the statute's text lacks a clear congressional intent to grant such power. Justices Brett Kavanaugh, Clarence Thomas, and Samuel Alito dissented.

Trump reacted sharply to the ruling, calling it "terrible" and expressing shame in certain justices for lacking courage. Four days later, he invoked Section 122 -- a provision never used before -- to impose a 10% tariff on imports from nearly every country, effective February 24. Exemptions apply to certain minerals, pharmaceuticals, some electronics and vehicles, as well as most goods from Canada and Mexico under the USMCA. Trump has since indicated plans to raise the rate to 15%.

The administration defends the tariffs as necessary to reduce longstanding trade deficits and address international payments problems, vowing to defend the action vigorously in court. The lawsuit echoes earlier challenges, including a 2025 suit by a dozen states against prior tariff policies.

Meanwhile, over 2,000 companies have filed suits seeking refunds on more than $175 billion in tariffs collected under the now-invalidated IEEPA regime, with cases remanded to lower courts. The new litigation adds to global trade uncertainty as importers brace for higher costs and potential supply chain disruptions.