Toy Stores, Manufacturers Challenge Trump's Tariffs in Lawsuit

Small businesses across the U.S., including St. Paul's Mischief Toy Store and Omaha's Spielcraft Games, are suing President Trump over newly imposed 145% tariffs on Chinese imports, arguing the tariffs are unlawful and threaten their survival. The lawsuit, led by the Pacific Legal Foundation, challenges the use of the Emergency Powers Act to justify the tariffs, contending that the cited emergencies, such as the fentanyl crisis, do not warrant executive action and that only Congress has tariff authority. Owners say the tariffs have drastically raised costs, with $10 toys potentially rising to $25, causing suppliers to cancel orders and some businesses to close. Many U.S. toy and game companies rely on Chinese manufacturing due to the lack of domestic infrastructure and cost-effective small-batch production options. The tariffs are causing industry-wide disruptions, forcing businesses to stockpile, raise prices, or consider shutting down. Legal experts note the constitutional dispute centers on executive overreach, with significant implications for the toy and game industry and small businesses nationwide.