Trump admin to appeal US court order mandating broad tariff refunds

The Trump administration will appeal a US court order mandating nationwide tariff refunds for imports taxed under the International Emergency Economic Powers Act (IEEPA), escalating a legal dispute over the Supreme Court’s February ruling that struck down Trump’s sweeping tariffs. The Justice Department filed a notice Friday arguing that a judge lacks the authority to compel Customs and Border Protection (CBP) to reprocess all finalized entries, including those not involved in lawsuits. The Supreme Court ruled 6-3 that Trump’s use of IEEPA to impose global tariffs was unlawful but did not address refunds, leaving the issue to the US Court of International Trade. Judge Richard Eaton ordered CBP to recalculate tariffs for all importers who paid the contested levies, not just those who sued, and committed to paying interest on refunds. The administration, however, has resisted, claiming CBP cannot reliquidate or refund money without explicit court orders. CBP launched an online portal on April 20 to process refund claims, signaling partial compliance with the $166 billion in levies the Supreme Court invalidated. However, the Justice Department rejected the judge’s authority to issue a nationwide injunction, comparing it to a banned birthright citizenship ruling. The government also objected to Eaton’s demand for CBP Commissioner Rodney Scott to testify in person at a June 9 hearing, arguing no ‘extraordinary circumstances’ justified it. Eaton denied the request, emphasizing the $166 billion at stake and the need to clarify whether the administration would fully refund all tariffs. Legal experts advised importers to delay filings at the Court of International Trade, citing a statute of limitations deadline in February 2027. The White House did not immediately respond to a request for comment, leaving uncertainty over the next steps in the complex legal battle.