Latest / Uncensored Objection / [Podcast] California Sues Trump Over Unlawful Tariffs
Transcript
- 0:00SPEAKER_01: Keeping up with everything that matters today.
- 0:03SPEAKER_00: Well, it can feel pretty overwhelming, can it?
- 0:05SPEAKER_00: There's just so much noise.
- 0:06SPEAKER_01: Absolutely.
- 0:07SPEAKER_01: That's why we try to cut through it sometimes.
- 0:09SPEAKER_00: And that's exactly what we're doing today.
- 0:10We're taking a deep dive into a really significant piece of
- 0:14political and legal news.
- 0:16SPEAKER_01: Right.
- 0:17We're looking at California's lawsuit against President Trump's terrorists.
- 0:21SPEAKER_00: Yeah, led by Governor Newsom and Attorney General Bonta.
- 0:25And we're basing our discussion on a really detailed piece by
- 0:28Attorney Mitch
- 0:29SPEAKER_00: Jackson over on his sub-stack,
- 0:30SPEAKER_00: Uncensored Objection.
- 0:32SPEAKER_01: It's a complex situation with big implications.
- 0:34SPEAKER_00: Definitely.
- 0:35SPEAKER_00: Our goal here is to really unpack the arguments,
- 0:38SPEAKER_00: understand why California is doing this and,
- 0:40SPEAKER_00: you know,
- 0:41what it might mean for the economy and maybe even presidential
- 0:43power itself.
- 0:44SPEAKER_01: It really gets to the heart of checks and balances, doesn't it?
- 0:47SPEAKER_00: It does.
- 0:48SPEAKER_00: Okay, so let's kick things off.
- 0:49SPEAKER_00: What's the...
- 0:50The absolute core argument that California is making in this
- 0:53federal lawsuit.
- 0:54SPEAKER_01: Well,
- 0:54the central claim is that President Trump basically went beyond
- 0:58his executive
- 0:59SPEAKER_01: authority by using emergency powers to slap on these tariffs.
- 1:04SPEAKER_01: Emergency powers.
- 1:06SPEAKER_01: You mean...
- 1:06SPEAKER_01: That specific law, the IEEPA.
- 1:08SPEAKER_00: Exactly.
- 1:09SPEAKER_00: The International Economic Emergency Powers Act.
- 1:12SPEAKER_00: California is saying,
- 1:12SPEAKER_00: look,
- 1:13SPEAKER_00: this law is for,
- 1:14SPEAKER_00: you know,
- 1:15SPEAKER_00: targeted sanctions,
- 1:16SPEAKER_00: real specific emergencies,
- 1:19SPEAKER_00: not for launching what they see as an unauthorized trade war.
- 1:22So the argument is that the Constitution gives Congress the
- 1:26power to set tariffs
- 1:27SPEAKER_01: and regulate foreign trade,
- 1:29SPEAKER_01: not the president acting alone using this emergency law.
- 1:33SPEAKER_00: Precisely.
- 1:34SPEAKER_00: They're arguing it's a constitutional issue.
- 1:36SPEAKER_00: That power belongs to the legislative branch.
- 1:39SPEAKER_00: And using IEPA this way, well, it bypasses Congress entirely.
- 1:43SPEAKER_01: OK, that makes sense as a legal argument.
- 1:44SPEAKER_01: But why is California specifically leading this charge?
- 1:48SPEAKER_01: What's their stake in it, economically speaking?
- 1:50SPEAKER_00: Well, the article really lays out the economic hit.
- 1:53SPEAKER_00: California argues these tariffs have caused real harm.
- 1:56SPEAKER_00: Increased prices for consumers,
- 1:58SPEAKER_00: struggles for small businesses,
- 1:59SPEAKER_00: especially manufacturers and farmers.
- 2:01SPEAKER_01: Right.
- 2:01SPEAKER_01: And California's economy is massive.
- 2:03SPEAKER_01: Fifth largest in the world, I think.
- 2:04SPEAKER_00: That's right.
- 2:05SPEAKER_00: So when you have broad terraces like these,
- 2:07SPEAKER_00: an economy as diverse as California's,
- 2:10SPEAKER_00: you know,
- 2:11SPEAKER_00: tech,
- 2:11SPEAKER_00: entertainment,
- 2:12SPEAKER_00: agriculture,
- 2:13SPEAKER_00: manufacturing it,
- 2:15SPEAKER_00: it feels the pain across many,
- 2:17SPEAKER_00: many sectors.
- 2:18SPEAKER_01: Can you give some examples of that pain?
- 2:19SPEAKER_01: What kind of damage are they talking about?
- 2:21SPEAKER_00: Sure.
- 2:21SPEAKER_00: The source material points to things like reduced agricultural exports.
- 2:26SPEAKER_00: Think almonds, wine, citrus...
- 2:30Big California products hit hard by retaliatory tariffs from
- 2:33other countries.
- 2:34SPEAKER_01: Ah, the retaliation factor.
- 2:35SPEAKER_00: Exactly.
- 2:36SPEAKER_00: And then you have manufacturers who need imported materials.
- 2:39SPEAKER_00: Their costs go up.
- 2:40SPEAKER_00: Or manufacturers trying to export finished goods.
- 2:43SPEAKER_00: They face barriers, too.
- 2:45SPEAKER_00: Plus, less activity at the big ports like Long Beach and L.A.
- 2:49SPEAKER_01: So it's not just an abstract economic debate for them.
- 2:51SPEAKER_01: They're seeing it as a direct tax on businesses and people in California.
- 2:55That's definitely how Governor Newsom and Attorney General
- 2:58Bonta are framing it.
- 2:59They argue these tariffs act like taxes,
- 3:01raising costs and creating a lot of uncertainty.
- 3:04SPEAKER_01: Let's talk about Newsom and Bonta's leadership on this.
- 3:07SPEAKER_01: How are they positioning this fight?
- 3:08SPEAKER_00: They're casting it as standing up not just for Californians,
- 3:11but really for all Americans affected by what they see as
- 3:15federal overreach on
- 3:16SPEAKER_00: trade policy.
- 3:17SPEAKER_01: Protecting their constituents' economic interests.
- 3:19Yes,
- 3:20and Attorney General Bonta,
- 3:21he's quoted talking about the real consequences for people.
- 3:25Farmers losing markets,
- 3:26small businesses facing higher costs,
- 3:28families paying more for goods.
- 3:30SPEAKER_00: It's about tangible impact.
- 3:32So Nussol's move is portrayed as defending the rule of law
- 3:36against an executive
- 3:38SPEAKER_01: branch stretching its powers.
- 3:40SPEAKER_00: That seems to be the core message,
- 3:41SPEAKER_00: yeah,
- 3:41SPEAKER_00: that this is about defending the constitutional separation of powers.
- 3:45SPEAKER_00: And perhaps,
- 3:46SPEAKER_00: as the article might suggest,
- 3:47it fits into California's history of sometimes challenging
- 3:50federal actions on
- 3:51SPEAKER_00: various issues.
- 3:52SPEAKER_01: OK, let's get back into the legal weeds a bit.
- 3:54SPEAKER_01: Why exactly do they say using IEPA is unlawful here?
- 3:58SPEAKER_01: You mentioned it wasn't meant for broad terrorists.
- 4:01SPEAKER_00: Right.
- 4:02SPEAKER_00: The argument is historical precedent and intent.
- 4:05SPEAKER_00: I.E.
- 4:06SPEAKER_00: EPA was designed for specific targeted sanctions.
- 4:10Think freezing assets of hostile regimes or terrorists,
- 4:13that kind of thing.
- 4:14It wasn't envisioned as a tool for widespread across the board
- 4:17tariffs impacting
- 4:18SPEAKER_00: billions in trade.
- 4:20SPEAKER_01: And no president before Trump used it this way for tariffs.
- 4:24SPEAKER_00: That's a key point in their argument.
- 4:25This application of IEPA for broad tariffs is unprecedented,
- 4:31according to them.
- 4:32SPEAKER_01: This connects to something called the major questions doctrine, right?
- 4:34SPEAKER_01: Can you break that down?
- 4:35SPEAKER_00: Yeah.
- 4:36The major questions doctrine is a legal principle that's been
- 4:39getting more attention recently.
- 4:41SPEAKER_00: Basically,
- 4:41it says that if an executive agency wants to take an action
- 4:44with huge economic or
- 4:45SPEAKER_00: political significance,
- 4:47SPEAKER_00: a major question,
- 4:48SPEAKER_00: it needs really clear,
- 4:50SPEAKER_00: explicit permission from Congress in the law.
- 4:53SPEAKER_01: ambiguity isn't enough for massive policy shifts.
- 4:55SPEAKER_00: Exactly.
- 4:56SPEAKER_00: You can't just find some vague language in an old statute and use it to,
- 5:00SPEAKER_00: say,
- 5:01SPEAKER_00: reshape huge sectors of the economy.
- 5:03SPEAKER_00: Congress has to have clearly spoken on that specific major issue.
- 5:06And California is arguing that imposing these massive tariffs
- 5:09is a major question.
- 5:10SPEAKER_00: Absolutely.
- 5:11They're saying these tariffs have vast economic significance
- 5:14affecting nearly everyone.
- 5:16SPEAKER_00: Therefore,
- 5:17SPEAKER_00: under the major questions doctrine,
- 5:19SPEAKER_00: the president needed clear authorization from Congress to impose them.
- 5:22And IEPA,
- 5:23they argue,
- 5:24doesn't provide that clear green light for this kind of action.
- 5:27SPEAKER_00: That's the nub of it.
- 5:28They contend IEPA lacks the necessary clear statement from
- 5:32Congress authorizing its
- 5:33SPEAKER_00: use for such broad tariff measures.
- 5:36SPEAKER_00: They might point to recent Supreme Court cases like West Virginia v.
- 5:40EPA or the student loan cases where the court struck down
- 5:44executive actions partly
- 5:45SPEAKER_00: on these grounds.
- 5:46Saying the administration read powers into the law that
- 5:49Congress hadn't explicitly
- 5:50SPEAKER_01: granted for such big actions.
- 5:52SPEAKER_00: Precisely.
- 5:53It's about ensuring Congress retains control over those truly
- 5:57significant policy decisions.
- 5:58SPEAKER_01: Now,
- 5:59the article we're drawing from by Mitch Jackson likely points
- 6:02out that it wasn't
- 6:02SPEAKER_01: just Democrats opposing these tariffs,
- 6:04SPEAKER_01: right?
- 6:04SPEAKER_01: There was bipartisan pushback.
- 6:06SPEAKER_00: Oh, absolutely.
- 6:07SPEAKER_00: And that's significant.
- 6:09SPEAKER_00: It shows the concerns weren't purely partisan.
- 6:11SPEAKER_00: You had Republicans,
- 6:13SPEAKER_00: prominent ones like Senators Ted Cruz and Rand Paul,
- 6:16SPEAKER_00: calling tariffs taxes on Americans.
- 6:18SPEAKER_00: Senator Murkowski emphasized Congress's role in trade.
- 6:22SPEAKER_01: Even conservative commentators and publications?
- 6:24SPEAKER_00: Yes.
- 6:25Figures like Ben Shapiro,
- 6:26publications like The Wall Street Journal,
- 6:28they raised criticisms too.
- 6:30SPEAKER_00: And importantly,
- 6:31SPEAKER_00: major business groups,
- 6:32SPEAKER_00: the Chamber of Commerce,
- 6:34SPEAKER_00: the National Retail Federation,
- 6:35SPEAKER_00: they warned about higher prices and economic harm from the start.
- 6:39So the opposition was pretty broad,
- 6:41cutting across typical political lines.
- 6:43SPEAKER_00: It really did,
- 6:43which underscores that the concerns about both the economic
- 6:46impact and the process
- 6:49SPEAKER_00: used were quite widespread.
- 6:51SPEAKER_01: Beyond just filing this lawsuit,
- 6:53is Governor Newsom doing other things to try and shield
- 6:55California's economy?
- 6:57SPEAKER_00: Yes.
- 6:57SPEAKER_00: The source suggests he's also working proactively on trade resilience,
- 7:01SPEAKER_00: trying to build new international partnerships,
- 7:03SPEAKER_00: diversify markets for California goods,
- 7:05SPEAKER_00: and strengthen supply chains.
- 7:07So not putting all the eggs in the lawsuit basket trying to
- 7:09find other trade avenues.
- 7:11SPEAKER_00: Exactly.
- 7:11It seems to be about reducing reliance on maybe volatile trade
- 7:14relationships and
- 7:15SPEAKER_00: creating more stability.
- 7:17There might be efforts to get specific exemptions for
- 7:19California products from
- 7:21SPEAKER_00: retaliatory tariffs,
- 7:22SPEAKER_00: plus programs helping businesses find new suppliers or export markets.
- 7:27SPEAKER_01: A kind of two track approach.
- 7:29SPEAKER_01: Fight the policy legally, but also adapt to the reality on the ground.
- 7:33SPEAKER_00: That appears to be the strategy.
- 7:35SPEAKER_00: Yeah.
- 7:35SPEAKER_00: Mitigating the damage while the legal challenge proceeds.
- 7:38SPEAKER_01: OK.
- 7:38SPEAKER_01: Let's zoom out one last time.
- 7:39SPEAKER_01: The lawsuit is being presented as more than just about tariffs.
- 7:43SPEAKER_01: It's about defending democracy and checks and balances.
- 7:46SPEAKER_01: Why is that framing so important here?
- 7:48SPEAKER_00: Because it taps into fundamental questions about presidential power.
- 7:52SPEAKER_00: The concern,
- 7:53SPEAKER_00: as articulated by critics,
- 7:54is that if a president can use emergency powers so broadly for
- 7:57something like trade,
- 7:59SPEAKER_00: where does it stop?
- 8:00Could it set a precedent for bypassing Congress on other major
- 8:03issues just by
- 8:04SPEAKER_01: calling it an emergency?
- 8:05SPEAKER_00: That's the worry.
- 8:06SPEAKER_00: It potentially shifts significant power to the executive branch,
- 8:10SPEAKER_00: away from the legislature,
- 8:11SPEAKER_00: undermining the separation of powers that's foundational to the U.S.
- 8:15SPEAKER_00: system.
- 8:16So upholding the constitutional structure is a key motivation
- 8:20here beyond just the
- 8:21SPEAKER_01: economic arguments.
- 8:22It definitely seems to be a major pillar of California's case
- 8:26and the public
- 8:26SPEAKER_00: arguments being made by Newsom and Bonta.
- 8:29SPEAKER_00: It's about preventing what they see as executive overreach.
- 8:33SPEAKER_01: So to quickly recap,
- 8:34SPEAKER_01: California,
- 8:35SPEAKER_01: led by Newsom and Bonta,
- 8:37SPEAKER_01: is suing over President Trump's tariffs,
- 8:40arguing they're unconstitutional because he allegedly misused
- 8:43emergency powers,
- 8:44SPEAKER_01: i.e.
- 8:45SPEAKER_01: EPA, exceeding his authority and hurting the economy.
- 8:48SPEAKER_00: Right.
- 8:49SPEAKER_00: And this power properly belongs to Congress,
- 8:51SPEAKER_00: especially for actions with such major economic consequences,
- 8:54SPEAKER_00: invoking principles like the major questions doctrine.
- 8:57And this challenge has seen some bipartisan concern and runs
- 9:01alongside California's
- 9:02SPEAKER_01: efforts to build trade resilience through other means.
- 9:04SPEAKER_00: A complex situation with significant legal and economic dimensions.
- 9:08SPEAKER_01: It really leaves you thinking, doesn't it?
- 9:10SPEAKER_01: If this use of executive power stands,
- 9:13what does that mean for the balance between Congress and the
- 9:15president down the
- 9:16SPEAKER_01: road on issues maybe far removed from trade?
- 9:18SPEAKER_00: That's the provocative question, isn't it?
- 9:21What are the long-term implications for how major policy gets
- 9:24made if emergency
- 9:25SPEAKER_00: declarations become a more common tool for the executive?
- 9:30SPEAKER_00: Something to really mull over.
- 9:31SPEAKER_01: This has been a fascinating deep dive,
- 9:34really illuminated by the analysis in that article from
- 9:37attorney Mitch Jackson on
- 9:39SPEAKER_01: his uncensored objections substack.
- 9:42SPEAKER_00: Yes,
- 9:42his breakdown provides a lot of the legal and political context
- 9:46that's crucial for
- 9:47SPEAKER_00: understanding this.
- 9:48If you want to get a fuller picture of California's arguments
- 9:51and the legal
- 9:52SPEAKER_01: reasoning involved,
- 9:53SPEAKER_01: we absolutely recommend checking out Mitch Jackson's work.
- 9:56SPEAKER_00: Definitely worth a read for anyone following this.
- 9:59SPEAKER_01: Head over to the Uncensored Objections substack.
- 10:01SPEAKER_01: You can read the full article that informed our discussion today.
- 10:04SPEAKER_01: And honestly, just explore his other insightful commentary.
- 10:07Engaging with analyses like that is key to staying truly
- 10:10informed on these complex topics.
- 10:12SPEAKER_01: But please do visit Mitch Jackson's Uncensored Objection Substack.
- 10:15SPEAKER_01: Subscribe while you're there,
- 10:17SPEAKER_01: share the articles you find valuable,
- 10:18SPEAKER_01: and join the discussion in the comments.
- 10:21SPEAKER_01: Thanks for joining us for this deep dive.