5 small businesses sue to block tariffs, say U.S. trade deficits are not an emergency
Share and Follow


A group of five small businesses on Monday sued President Donald Trump, seeking to block new tariffs that he has imposed on foreign imports in recent weeks.

The lawsuit in the U.S. Court of International Trade alleges that Trump has illegally usurped Congress’ power to levy tariffs by claiming that trade deficits with other countries constitute an emergency.

“Congress has not delegated any such power,” the suit says. “The statute the President

invokes — the International Emergency Economic Powers Act (‘IEEPA’) — does not authorize the President to unilaterally issue across-the-board worldwide tariffs.”

The Liberty Justice Center, which is representing the owner-operated companies, said Trump’s so-called Liberation Day tariffs of at least 10% on imports from most countries, and higher rates for scores of other nations, are devastating small businesses across the country.”

“His claimed emergency is a figment of his own imagination: trade deficits, which have persisted for decades without causing economic harm, are not an emergency,” the suit says.

“Nor do these trade deficits constitute an ’unusual and extraordinary threat.”

The Liberty Justice Center noted that the Trump administration imposed tariffs even on countries with which the United States does not have a trade deficit, “further undermining the administration’s justification.”

“This Court should declare the President’s unprecedented power grab illegal, enjoin the operation of the executive actions that purport to impose these tariffs under the IEEPA and reaffirm this country’s core founding principle: there shall be no taxation without representation,” the suit says.

The plaintiffs include New York-based VOS Selections, which imports and distributes small-production wines, spirits, and sakes; FishUSA in Pennsylvania, a retail and wholesale e-commerce business making and selling sportfishing tackle and related gear; and Genova Pipe in Utah, which makes plastic pipe, conduit, and fittings for plumbing, irrigation, drainage, and electrical applications.

The other plaintiffs are MicroKits LLC in Virginia, which makes educational electronic kits and musical instruments, and Terry Precision Cycling, a Vermont-based brand of women’s cycling apparel.

“Terry Cycling has already paid $25,000 in unplanned tariffs this year for goods for which Terry was the importer of record, and Terry projects that the tariffs will cost the company approximately $250,000 by the end of 2025,” the suit says.

Terry Cycling in 2026 expects to “face an estimated $1.2 million in tariff costs — an amount that is simply not survivable for a business of its size,” the suit says.

CNBC has requested comment from the White House on the lawsuit.

Share and Follow
You May Also Like
Trump to host Syrian president in historic White House meeting amid push for regional peace

Trump Set to Welcome Syrian President to White House for Groundbreaking Peace Talks

President Donald Trump is poised to host Syrian President Ahmed al-Sharaa on…
Former NFL commissioner Paul Tagliabue dies

Remembering Paul Tagliabue: Former NFL Commissioner Passes Away, Leaving a Lasting Legacy

NEW YORK (AP) — Paul Tagliabue, who served as the NFL commissioner…
Jacksonville's Lanea Mons makes waves at Super Girl Surf Pro finale

Lanea Mons of Jacksonville Shines at Super Girl Surf Pro Finale

Jacksonville Beach transformed into a vibrant hub of activity as it hosted…
Two MLB stars indicted amid bombshell probe into rigged pitches

Two Major League Baseball Stars Indicted in Explosive Investigation into Pitch-Fixing Allegations

Cleveland Guardians pitchers Emmanuel Clase and Luis Ortiz are facing serious legal…
JJ Redick darts out of awkward Lakers presser after ugly loss

JJ Redick Swiftly Exits Tense Lakers Press Conference Following Difficult Defeat

JJ Redick is never one to hide his emotions during press conferences.…
Appeals court refuses to block full SNAP payments 

Appeals Court Upholds Full SNAP Benefits in Latest Ruling

A federal appeals court delivered a blow to the Trump administration on…
Florida man allegedly dumped cremated mother of four's remains alongside 500 pounds of trash

Florida Man Accused of Disposing Cremated Remains of Mother of Four Amidst 500 Pounds of Debris

In a disturbing incident in Florida, a man is accused of discarding…
'Dick Clark's New Year's Rockin' Eve with Ryan Seacrest' hosting 1st ever Central Time zone countdown in Chicago on ABC7

Experience History: ‘Dick Clark’s New Year’s Rockin’ Eve’ Unveils First-Ever Central Time Countdown Live from Chicago on ABC7

CHICAGO — For the first time in its storied history, “Dick Clark’s…