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Two US small businesses sue Trump administration over fresh round of tariffs

World July 25, 2026 01:05 AM
Two US small businesses sue Trump administration over fresh round of tariffs

Two US small businesses have sued the Trump administration over its latest round of tariffs, affecting more than 80 countries and aimed at targeting countries that engage in forced labor.

These, in effect, replace the blanket 10% tariff that Trump imposed in February, right after the supreme court declared many of his earlier tariffs were illegal.

However, according to the lawsuit filed in the US court of international trade by Liberty Justice Center – the same organization that challenged Trump’s tariffs that the top court struck down –the plaintiffs argue that Trump’s latest round of duties require more ‌detailed ⁠country-specific findings about “forced labor” to be legally justified.

The businesses pursuing the case are Burlap and Barrell, a spice importer based in New York, and Collective Horology, a watchmaker based in California.

The complaint argues that Section 301 of the 1974 Trade Act, which the administration has used to implement the tariffs, is “arbitrary and capricious” and asks the court to order the US trade representative to “set aside” and block the levies under the statute.