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Litigation · Refunds · Tariffs · Trade Policy
The U.S. Supreme Court struck down President Donald Trump's global tariffs, prompting over 1,500 businesses, including FedEx Corp., to demand approximately $170 billion in refunds from the government, initiating legal proceedings in lower courts.
Lawyers for successful challengers asked the U.S. Court of Appeals for the Federal Circuit to formalize its ruling on February 24, 2026, which the Supreme Court upheld on February 20. This action moves the fight to the U.S. Court of International Trade to determine refund processes.
Small businesses also filed a request in the trade court on February 24, seeking an injunction and initiating the refund process. FedEx Corp.
filed a refund lawsuit on February 23, joining numerous other importers. While the Justice Department previously assured refunds with interest for original plaintiffs, President Trump's recent comments suggest the government opposes repayments, predicting years of litigation.
Companies, however, are pushing for immediate action, citing prior government assurances and the need to avoid further harm and litigation complexity. The administration faces challenges contesting refunds given its prior statements.
Trump imposed new tariffs under a different authority, the Trade Act of 1974, which legal experts predict will also face challenges.
The Chinese share of American imports has dropped to the lowest level since 2001, but overall U.S. trade deficit has risen.
