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Home Economy

Trump admin launches comprehensive federal review targeting state laws that hurt national economy

News Room by News Room
August 22, 2025
Reading Time: 2 mins read
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Trump admin launches comprehensive federal review targeting state laws that hurt national economy

The Trump administration on Friday announced that it will review state laws that have a negative impact on the broader U.S. economy and interstate commerce to address those impacts.

On Friday, the Justice Department and National Economic Council (NEC) said the effort will focus on identifying state laws that “significantly and adversely affect the national economic or interstate economic activity and to solicit solutions to address such effects.”

As an example, the DOJ and NEC highlighted a recent lawsuit filed by the Justice Department against the state of California over laws that they argue impose costly requirements on the production of eggs and poultry products, which in turn raise prices for consumers both in and outside of California.

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The two agencies said the “public is invited to provide input to aid the Administration’s efforts” to address the state laws and regulations that impose a burden on the American public’s economic activities.

The announcement specifically invited public comments in several areas in which state laws and regulations impact interstate economic activity, including: 

  • State laws that significantly burden commerce in other states or between states, raising costs unnecessarily and harming markets nationwide.
  • Whether identified state laws may be preempted by existing federal authority, and if so, what authority.
  • Whether there may be federal legislative or regulatory means for addressing the state laws or regulations, or the burdens they cause.
  • Which federal agency has the subject-matter expertise to address concerns lawfully within the federal government’s authority.

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The DOJ and NEC announcement also noted that the initiative comes as an outgrowth of a series of executive orders signed by President Donald Trump this year that sought to ease regulatory burdens.

Among those are executive orders aimed at orienting the executive branch agencies to pursue deregulation while reviewing all federal regulations that “impose undue burdens on small businesses and impede private enterprise and entrepreneurship.”

Other previously-issued executive orders on deregulation include those aimed at boosting domestic energy production, a reversal of an Obama-era shower rule, as well as efforts to take on anti-competitive rules.

Read the full article here

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