California Sues Trump Over Tariffs, China to Face 245% Tariff Rate

04/18/2025

California Governor Gavin Newsom announced Wednesday a lawsuit against President Donald Trump over the sweeping tariffs enacted by the president last month.

California, the world’s fifth-largest economy, is the first state to challenge Trump’s tariff policy in the courts, arguing that the president does not have authority to enact the tariffs under the International Economic Emergency Powers Act.

Meanwhile, the White House announced that China can expect up to a 245 percent tariff on imports to the U.S. “as a result of its retaliatory actions,” as the trade war between the world’s two largest economies continues to heat up.

Leaders from Japan were in Washington this week as well, looking to negotiate tariffs and “trade fairness” with the president. Japan has been hit with 24% levies on its exports to the United States, though those rates are included in the 90-day pause. 4/16/2025

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