Small Businesses Sue Trump Administration Over New Section 301 Tariffs

Small businesses are suing the Trump administration over newly enacted tariffs under Section 301 of the Trade Act.

These challenges target duties of 10 percent or 12.5 percent on goods from more than 60 countries, reports Axios.

The tariffs took effect after temporary Section 122 measures lapsed last week and aim to address concerns over forced labor in supply chains.

One complaint, brought by the Liberty Justice Center on behalf of spice importer Burlap & Barrel and watch retailer Collective Horology, claims officials set rates in advance and later crafted justifications for specific economies.

Another suit involves toymaker Learning Resources, which previously prevailed in a Supreme Court case striking down tariffs under emergency powers, along with a flooring company and related entities.

Plaintiffs argue the administration used broad findings instead of proving how individual nations’ practices harm U.S. commerce as required by statute.

Collective Horology co-founder Asher Rapkin noted that prior tariffs already cost the firm over $160,000 with refunds still pending.

The company imports watches from Switzerland and lacks viable domestic alternatives for many products.

Courts rejected an earlier tariff attempt under emergency authorities, and litigation over the Section 122 round continues on appeal.

The White House offered no comment on the new filings, though officials previously defended the measures as responses to unfair trade practices.

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