Costco is suing the federal government over emergency refund amounts

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Costco Wholesale Corporation is suing the Federal Government to block Donald Trump’s emergency tariffs and recoup money the retailer says it was unfairly forced to pay for imported goods.
The case, filed in the International Trade Court, says that Trump used the emergency financial law to impose tariffs on China, Mexico, Canada and the figure does not allow the President to create or increase tariffs.
COSTO says it has paid for these services throughout the year and is now facing a deadline that could prevent it from receiving that money.
The company says the Government will begin finalizing – or “freezing” – entries into the DED. 15. Once entry is locked, and entrants lose the ability to challenge or recover from such charges.
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A shopper loads items into a car at a convenience store in Vallejo, California, Thursday, May 29, 2025. (David Paul Morris/Bloomberg/Getty Images)
Costco says some of its filings have been finalized and many are closing in on the company, prompting the company to file its lawsuit quickly.
COSTCO is asking the court to declare invalid the orders of tariffs, customs blockades and border protection on the use of the money paid in the shipment on all the jobs that the company has paid under the emergency pricing program.
The filing puts Costco among a growing group of companies challenging Trump’s pharmaceutical tariffs.
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President Donald Trump delivered remarks on tax returns during a ceremony in the Rose Garden. (Brendan smilowski/AFP via Getty Images/Getty Images)
Learning Resources, Inc., a maker of educational toys and classroom products, filed the suit earlier this year, warning that the emergency rates could push annual fees to a record high.
The election of VOS, Inc., imported wine and spirits lines, won major decisions striking tax orders, sending the matter to the Supreme Court.
Other importers – including clothing companies, suppliers of auto-parts distributors and consumer goods distributors – have filed similar challenges against costs caused by sudden costs and disruptions in available supplies that businesses have not been able to capture.
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Costco’s case draws on those previous wins. Both the International Trade Court and the Federal Circuit had previously ruled that the Trump administration’s wasteful legislation did not justify the tariffs.
But Costco argues those rulings alone won’t guarantee refunds to the companies unless they file their lawsuits before they’re finalized.
FOX Business has reached out to Costco with questions about the lawsuit.
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The Supreme Court heard arguments on the broader legal question last month, and a decision is expected soon.
That decision could determine how quickly Costco’s lawsuits move — and whether many other companies will be able to seek refunds for taxes they claimed were withheld without legal authority.



