Trump Moves to Block Broad Tariff Refund Order Covering All Importers

CNBC reported Friday that the Trump administration intends to challenge a federal court order requiring tariff refunds to be made available to every importer that paid the now-invalidated duties, a move that could freeze a sprawling repayment effort already processing tens of billions of dollars.

The Administration Pushes Back on Universal Refunds

The Department of Justice informed Judge Richard K. Eaton of the U.S. Court of International Trade that it plans to appeal his ruling. Eaton had determined that the Supreme Court’s earlier decision entitled all importers of record to refunds. DOJ lawyers argued the judge overstepped his authority with that broad interpretation. They wrote that the administration would continue processing refunds through a phased approach, but only for businesses that had filed lawsuits asserting their rights to repayment.

More than 1,000 companies have done exactly that. The question now is how many of the roughly 330,000 potentially eligible importers never sued, and whether those firms would be cut off if the appeal succeeds.

Background: The Supreme Court’s Tariff Ruling

The legal battle stems from a 6-3 Supreme Court ruling in late February that found President Donald Trump lacked constitutional authority to impose sweeping “reciprocal” tariffs on imports from most countries worldwide. Those tariffs had been in effect from April 2025 onward. U.S. Customs and Border Protection subsequently estimated the total liability to importers at approximately $166 billion.

Refund claims totaling $85 billion were already accepted for processing as of May 22. CBP had directed the Treasury Department to issue $20.6 billion in actual refunds, with the first payments landing in bank accounts around May 12.

What the Appeal Could Mean for Importers

Legal experts quoted by CNBC cautioned that even a procedural appeal could stall the machinery. Trade attorney Barry Appleton, a professor at New York Law School, warned that freezing the process through litigation would effectively buy the government months of delay, even after losing the core legal argument at the Supreme Court.

Ryan Majerus, a partner at King and Spaulding’s international trade practice, suggested the practical impact might be narrower than feared. He noted the appeal would likely apply only to older, finalized import entries that had been in the country for around 314 days, not more recent shipments still open in CBP’s system.

Judge Eaton has scheduled a hearing for June 9, where he wants CBP Commissioner Rodney Scott to testify personally on how long full repayment would take. The DOJ asked that Scott’s deputies appear instead, citing his status as a senior presidential appointee.

Read Next: Federal Courts and Trade Policy — How Tariff Disputes Move Through the System

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