A coalition of 25 U.S. states has filed a lawsuit against Donald Trump's administration over tariffs presented as a way to combat forced labour in global supply chains. The states argue the measures are unlawful and should not be used as a new trade tool.

According to the challenge, the states say the forced labour tariffs are really a replacement for import taxes that the Supreme Court struck down in February. Their case frames the policy as an attempt to restore a form of trade penalty that has already been rejected by the court.

The dispute centers on whether the administration can use forced labour concerns to justify new tariffs on imported goods. While the stated goal is to address abuses in international supply chains, the lawsuit contends that the policy goes beyond that purpose and instead revives broader import taxes under a different label.

The case could become an important test of executive trade authority after the Supreme Court's earlier ruling. It also adds to the broader political and legal fight over how the U.S. should police global supply chains while staying within the limits set by federal law and the courts.