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Oregon Attorney General Dan Rayfield, supported by Governor Tina Kotek, is challenging the latest round of illegal tariffs imposed by the Trump Administration, which will drive up prices and hurt trade-dependent states like Oregon.
Oregon Pushes Back on New Trump Tariffs
The State of Oregon, et al. v. Trump, et al. was filed yesterday in the U.S. Court of International Trade.
In coalition with 23 other states, Oregon filed the lawsuit to block President Trump’s latest efforts to impose illegal tariffs on American consumers and businesses.
For more than a year, Trump has inflicted chaos on the American economy by imposing tariffs without the legal authority to do so, initially using the International Emergency Economic Powers Act (IEEPA).
But the Supreme Court overturned Trump’s tariffs in February, concluding that the IEEPA tariffs were unlawful.
| Section 122 requirement | What the states argue in the complaint |
|---|---|
| Limited use case | Meant for fundamental international payments problems / trade deficit is not the same thing as a balance of payments deficit |
| Hard caps | Tariffs are limited to 150 days and cannot exceed 15 percent ad valorem |
| Nondiscrimination / uniformity | Requires nondiscriminatory treatment and broad uniform product coverage, with only narrow exception reasons allowed |
| Country targeting rule | Statute allows targeting countries with large or persistent balance of payments surpluses / complaint says the proclamation made no country specific findings |
Trump responded by using a separate law that has never been used before—Section 122 of the Trade Act of 1974 to announce 15 percent tariffs on most products worldwide. But Section 122 does not apply, meaning that once again the President is acting unlawfully.
AG Rayfield said, “The focus right now should be on paying people back, not doubling down on illegal tariffs.”
The lawsuit challenges the latest round of tariffs, arguing that the actions of President Trump and his administration violate the law, upend constitutional separation of powers, and violate the Administrative Procedure Act.
Governor Kotek Supports Legal Challenge to New Trump Tariffs
Federal Reserve Bank of New York researchers recently concluded that nearly 90 percent of the costs of tariffs in 2025 were paid by American consumers and businesses.
Tidings Data Snapshot
Oregon tariff lawsuit : key numbersSource: Oregon Department of Justice media release March 5 2026 / NY Fed Liberty Street Economics Feb 2026 / Section 122 complaint filed in US Court of International TradeDailyTidings.com
Experts also estimate that in Oregon, the tariffs will raise the cost of living for the average family by more than $1200 a year, effectively imposing a sales tax on citizens of the state- something that Oregonians have voted down for years.
Governor Tina Kotek is supporting the new legal challenge. Oregon’s economy depends on strong global partnerships, and the Governor says the state cannot afford policies that take money out of Oregonians’ pockets. She emphasized that the issue is about economic stability and affordability for families.
Governor Kotek said, “These tariffs are another tax on working families. They drive up the cost of everyday goods while creating more uncertainty for Oregon businesses that rely on trade.”
She reaffirmed that her administration will continue working with state partners, businesses, and workers to defend Oregon’s trade-dependent economy and push back against policies that increase the cost of living.
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