California is taking the U.S. federal government to court over Trump-era tariff hikes, sparking a high-stakes legal battle that could reshape trade policy. Governor Gavin Newsom announced the lawsuit Thursday, arguing the tariffs unlawfully disrupt the state’s economy—the largest in the U.S., with a GDP of $3.9 trillion in 2023. 💼📉
Why California is Taking a Stand
As America’s top importer, California says it’s disproportionately hurt by tariffs. The state’s $675 billion trade network—spanning partners like China, Mexico, and Canada—has faced supply chain chaos and rising costs. "This isn’t just about numbers; it’s about our workers and farmers paying the price," Newsom stated. 🌍📦
Cracking Almonds & Canceled Ships
The almond industry, supplying 80% of global demand, faces \u201cexistential threats,\u201d per farmers. One grower told CMG buyers may ditch California almonds if tariffs spike prices. Meanwhile, the Port of Long Beach reports canceled shipments and a forecasted 20% cargo decline by late 2025. 🚢💔
E-commerce isn’t spared either. Dusty Kenny, a Northern California retailer, says relocating production from China to the U.S. would triple costs. "Local manufacturers won’t even return our calls," she added.
What’s Next?
California aims to shield its economy by seeking exemptions for state-made products and forging new international partnerships. With industries from agriculture to tech at risk, this lawsuit could become a blueprint for challenging federal trade policy. ⚡️🌐
Reference(s):
Why is California launching a lawsuit against Trump tariff hikes?
cgtn.com