Maryland Joins Multistate Effort Against Unlawful Tariffs

Maryland Attorney General Anthony G. Brown, along with 21 other state attorneys general, has formally urged the United States Trade Representative (USTR) to abandon its plan to implement new tariffs. This action is a direct response to the USTR’s latest proposal to levy tariffs on the European Union and 59 other nations, following previous legal challenges that invalidated earlier tariff attempts. The coalition argues that these proposed tariffs are unlawful and outside the authority granted to the USTR by Congress.

The attorneys general are specifically pushing back against the USTR’s latest proposal, which follows a Supreme Court ruling in February that deemed previous tariffs unlawful. The Court of International Trade also struck down a subsequent attempt in May. For over a year, the economic landscape has been subject to tariffs that these states contend lack legal backing. Initially, the authority to impose these tariffs was claimed under the International Emergency Economic Powers Act (IEEPA). However, the Supreme Court ultimately rejected this broad interpretation of IEEPA authority, finding the tariffs imposed under it to be unlawful.

Following the Supreme Court’s decision, the Trump administration turned to a different legislative provision, Section 122 of the Trade Act of 1974, which had not previously been used for such purposes. This led to the announcement of 10 percent tariffs on most products globally. Maryland, along with 23 other states, successfully obtained a court ruling against these tariffs as well.

The most recent initiative involves the USTR investigating the European Union and 59 additional countries. The stated purpose of this investigation was to determine if these nations are adequately combating forced labor in global trade. Approximately two and a half months after this directive, the USTR released a report that appears to align with the administration’s prior intentions. This report proposes a tiered tariff structure: 10 percent on 14 economies and 12.5 percent on 46 others. Notably, these proposed tariffs include the same exceptions as previous iterations and offer no clear explanation of how they will specifically address the issue of forced labor.

A recent analysis by researchers at the Federal Reserve Bank of New York indicates that American consumers and businesses bore nearly 90 percent of the costs associated with tariffs in 2025. The coalition of states argues that imposing yet another round of tariffs would represent a continuation of unsuccessful economic policies that disproportionately burden domestic consumers and businesses.

The comment letter submitted by the attorneys general contends that this latest round of tariffs is not only unlawful but also exceeds the scope of the authority delegated to the USTR by Congress. Furthermore, the states assert that the proposals are not supported by sufficient evidence. The states joining Maryland Attorney General Brown in this effort include Arizona, California, Colorado, Connecticut, Delaware, Illinois, Maine, Massachusetts, Michigan, Minnesota, New Jersey, Nevada, New Mexico, New York, North Carolina, Oregon, Rhode Island, Vermont, Virginia, Washington, and Wisconsin.

The implications of these tariffs for Maryland residents and businesses are significant. Previous tariffs have been estimated to cost the state up to $4 billion in direct and indirect expenses. The continued imposition of tariffs, especially those that research suggests are largely absorbed by domestic entities, can lead to increased prices for goods and services, potentially impacting household budgets and the competitiveness of local businesses. Consumers may face higher costs for imported products, while businesses could experience increased operating expenses, potentially affecting their ability to invest, expand, or maintain current employment levels. The attorneys general’s challenge aims to halt these potentially harmful economic consequences.

Article by Mel Anara, based upon information from the Maryland Attorney General’s Office.

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