Attorney General Jackson Protects Billions for North Carolinians, Court Rules Tariffs Were Illegal

The latest round of illegal tariffs could’ve cost North Carolina families up to $1,300 this year.

FOR IMMEDIATE RELEASE
Friday, May 8, 2026
Contact: comms@ncdoj.gov
919-538-2809

RALEIGH— On Thursday, a court struck down the federal administration’s latest round of illegal tariffs. The court agreed with Attorney General Jackson that the tariffs were illegal.

“The first round of tariffs already cost North Carolina $3.5 billion, and the latest round was on track to cost families up to $1,300 this year,” said Attorney General Jeff Jackson. “That’s a lot of money. Throwing out these tariffs keeps that money in people’s pockets for food, gas, rent, and medicine.”

The U.S. Supreme Court struck down the federal government’s first round of tariffs, imposed under the International Emergency Economic Powers Act (IEEPA), in February. That very same day, the administration imposed a new round of tariffs under a different law, Section 122 of the Trade Act of 1974.

Attorney General Jackson and a coalition of attorneys general sued to block that latest round of tariffs, arguing that they were illegal because Section 122 doesn’t authorize the president to issue tariffs under the country’s current financial circumstances.

On Thursday, the Court of International Trade agreed. The court said that the president doesn’t have “inherent authority to impose tariffs during peacetime,” and that the authority belongs to Congress.

Attorney General Jackson has encouraged businesses that were impacted by the first IEEPA tariffs to apply for refunds through U.S. Customs and Border Protection’s portal. He has also urged Congress to pass a law requiring the federal government to reimburse importers for these illegal tariff charges, with interest, through a fair and fast process that doesn’t put the burden on businesses. Additionally, he pushed Congress to direct businesses who receive tariff refunds to reimburse their customers, since they ultimately bore the burden of higher prices.

Attorney General Jackson is joined in the win over the Section 122 tariffs by Attorneys General of Oregon, Arizona, California, New York, Colorado, Connecticut, Delaware, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, Rhode Island, Vermont, Virginia, Washington, Wisconsin, and the Governors of Kentucky and Pennsylvania.

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