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United States·Trade & Economy·Sanctions

US small businesses sue over Trump's new forced labour tariffs

Saturday, 25 July 2026, 06:24 · 1 min read

Two US small businesses — Burlap & Barrel, a spice importer, and Collective Horology, a California watch retailer — filed a lawsuit on Friday in the US Court of International Trade in New York, challenging the Trump administration's latest round of tariffs on goods from 60 trading partners. The new levies, set at 10 and 12.5 percent, were imposed under Section 301 of the Trade Act of 1974 (a law historically used to target specific countries and industries over unfair practices) on the grounds that those nations are not doing enough to prevent the export of goods made with forced labour. The businesses, backed by the Liberty Justice Center nonprofit, argue that the tariffs lack the country-specific findings required to be legally justified and that Trump's sweeping application of Section 301 has no historical precedent — a case that matters because the US Supreme Court has already struck down two earlier rounds of broad Trump tariffs under separate legal authorities.

Sources
Al Jazeera English — US small businesses challenge Trump’s new forced labour tariffs ↗︎
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