In brief
The United States has imposed half‑price duties on $20 bn of Canadian imports, prompting the Liberty Justice Center to sue on behalf of the New Jersey cheese importer Gellert Global Group. The suit contends that the White House exceeded its authority under the 1930 Tariff Act’s Section 338 and that the tariffs were imposed without the required 30‑day waiting period. Gellert Global Group, which sends cheese to Canada, suffers from double taxation as Canada counter‑tariffs target U.S. dairy. The lawsuit seeks a declaration that Section 338 is superseded by the 1974 Trade Act, a preliminary injunction, and refunds with interest for affected importers. The case represents the fourth attempt by the league to block Trump’s tariff strategy, underscoring a broader trade war that has rattled businesses on both sides of the border.
A new lawsuit filed by the Liberty Justice Center challenges the Trump administration’s $20 bn of 50 % tariffs on Canadian goods, arguing the move exceeded congressional authority over trade policy.
The tariffs were imposed after trade negotiations between Washington and Ottawa collapsed in August, targeting a wide range of products including wine, dairy and hockey sticks. Canada retaliated with matching duties, a back‑and‑forth that has escalated tensions in the North American market.
The legal action represents the fourth attempt by the league to curb Trump’s tariff campaigns. It specifically names New Jersey‑based Gellert Global Group, a cheese exporter that now pays a 50 % tax on imports to Canada and must also contend with Canadian cuts on U.S. dairy.
Thomas Gellert, co‑chief executive, says the charges “disrupt overnight relationships” and impose “unnecessary costs” across the supply chain. The company’s lawsuit seeks both a declaration of illegality and refunds, including interest, for those harmed.
Central to the claim is Section 338 of the 1930 Tariff Act, which historically protected U.S. commerce during foreign discrimination but, according to the Liberty Justice Center, does not empower the executive to impose sweeping, unilateral duties without a 30‑day notice. The plaintiffs contend that Section 301 of the 1974 Trade Act now governs such measures.
Capt. Sara Albrecht, chief executive of the Center, emphasized that the lawsuit is not aimed at Trump personally but seeks to enforce the Separation of Powers by ensuring that only Congress can prescribe tariff levels.
If the court sides with the group, it could halt the current duties while the trade dispute continues, prompting both governments to explore alternative resolutions. The White House has yet to comment on the suit.
