Costco Sues Trump Administration Over Tariffs
On Nov. 28, 2025, Costco filed a lawsuit against the Trump administration for allegedly overstepping its authority to impose sweeping tariffs this year, seeking a refund if the Supreme Court ultimately strikes them down.
The tariffs were imposed under a law called the International Emergency Economic Powers Act (IEEPA), which some companies and states, in other ongoing lawsuits, argue does not allow the president to levy broad import taxes on all foreign goods. The Supreme Court is already reviewing whether the IEEPA authorizes the president to impose tariffs in
V.O.S. Selections v. Trump,
a consolidated case argued on Nov. 5, 2025. Costco said both the Court of International Trade and the U.S. Court of Appeals for the Federal Circuit had previously held that the IEEPA did not grant the president tariff-setting power.
Costco expressed concern that it might struggle to get a refund once its tariff bills have been finalized in a process called “liquidation" by the U.S. Customs and Border Protection (CBP) agency, which will start Dec. 15, 2025. Importers have 180 days after liquidation to protest the tariff bills. Read more
here.