Small Businesses Launch New Legal Fight Against Trump's Latest Global Tariffs

Small businesses, veterans of past legal battles against the Trump administration's trade policies, are once again challenging a new wave of global tariffs. Just days after the White House's temporary Section 122 levies expired, companies like Burlap & Barrel, Collective Horology, and Learning Resources filed fresh lawsuits in the U.S. Court of International Trade, aiming to block new Section 301 tariffs that impose duties of 10% to 12.5% on imports from over 60 economies. These businesses argue the administration has overstepped its authority yet again, treating Section 301 as a blank check for broad tariffs rather than a targeted trade remedy. This latest legal showdown marks the third iteration of President Trump's sweeping tariff agenda. In February 2026, the Supreme Court unequivocally struck down tariffs imposed under the International Emergency Economic Powers Act (IEEPA), ruling the President lacked the authority to levy such duties. Following that defeat, the administration implemented the Section 122 tariffs, which were themselves deemed unlawful by a trade court in May 2026, though they remained in effect during an ongoing appeal until their expiration last week. Now, the new Section 301 tariffs, justified by the administration as a response to forced labor practices in global supply chains, are drawing fire for allegedly being a predetermined effort to recreate a global tariff regime rather than a genuine, country-specific inquiry. The lawsuits contend that the U.S. Trade Representative, Jamieson Greer, failed to demonstrate how each country's practices specifically burdened U.S. commerce or how these broad tariffs would effectively eliminate forced labor, as required by the statute. While some trade experts suggest Section 301 might offer the administration firmer legal ground than previous attempts, the courts will now grapple with whether the power was exercised lawfully. Importers, many still awaiting refunds from the invalidated IEEPA tariffs, face continued uncertainty as this high-stakes legal battle unfolds, with potential ramifications for global supply chains and consumer costs.