Federal News
States Seek Court to Block Trump's Tariffs
March 21, 2026
Several Democratic-led states, led by Oregon Attorney General Dan Rayfield, have filed legal motions in the U.S. Court of International Trade to block President Trump's tariffs imposed under Section 122 of the Trade Act of 1974. These tariffs, challenged as unlawful, are causing increased costs for state governments, businesses, and consumers. A court hearing is scheduled for April 10, 2026, to consider these motions. Concurrently, a coalition of 18 state attorneys general is urging Congress to enact legislation mandating automatic refunds for approximately $166 billion in tariffs previously imposed under the International Emergency Economic Powers Act (IEEPA), following a Supreme Court ruling that invalidated those tariffs. These developments highlight significant legal and financial uncertainties affecting procurement costs and supply chains for government agencies and contractors.
- Procurement professionals should anticipate potential cost adjustments and reimbursement processes related to tariff refunds impacting supply pricing and contract budgeting.
- Agencies and contractors operating in states involved in the litigation may face evolving tariff-related compliance and cost recovery requirements.
- Businesses should evaluate the implications of ongoing legal challenges on import tariffs and factor potential tariff suspensions or refunds into procurement planning.
- The April 10, 2026 court hearing represents a critical date for potential changes in tariff enforcement and associated procurement impacts.
As the experience with IEEPA tariffs has proven, States will be harmed by paying more for goods, equipment, and services where third parties must pay the tariffs, And it will likely be infeasible for Plaintiff States to recover all of the costs.
— Democratic Attorneys General
Attorney General Rayfield is right 6 every cent of the illegal tariffs the Trump administration collected needs to be returned, with interest.
— Senator Ron Wyden
Oregonians paid the price for Trumps illegal tariffs 6 higher costs at the grocery store, tighter budgets, and real financial strain, especially for families already stretching every dollar.
— Dan Rayfield, Attorney General
Agencies
Oregon Department of Justice, U.S. Court of International Trade, State of Oregon, State of Arizona, United States Senate
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Sources
- States, small businesses ask court to stop Trump's newest tariffs · AOL.com · Mar 21
- Attorney General Rayfield Calls on Congress to Pass Legislation Requiring Tariff Refunds - Oregon Department of Justice : Media · OR · Mar 18
- Attorney General Rayfield Seeks Court Order to Stop the Trump Administration’s Illegal Tariffs - Oregon Department of Justice : Media · OR · Mar 13