• Warehouse club chain filed lawsuit Friday in US Court of International Trade
• Company seeks full refund of duties paid under emergency powers law
• Supreme Court justices appeared skeptical of Trump's tariff authority during November arguments

ISSAQUAH, WA (TDR) — Costco Wholesale has sued the Trump administration to secure refunds of import duties the retail giant has paid under the president's sweeping tariff policy, joining a growing wave of companies preparing for a potential Supreme Court ruling against the levies.

The nation's largest warehouse club operator filed its complaint Friday in the US Court of International Trade in Manhattan, arguing that President Donald Trump's use of the International Emergency Economic Powers Act to impose tariffs has left businesses uncertain whether they can recoup payments later deemed unlawful.

Company Warns Refunds Not Guaranteed

Costco reported $275.2 billion in revenue during its fiscal year ending August 31, making it one of the largest corporate players to enter a legal battle previously driven by small businesses and Democratic state officials.

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The company's lawyers argued that even if the Supreme Court strikes down the tariffs, importers who have already paid duties may not automatically receive refunds without obtaining their own court judgments.

"This separate action is necessary because even if the IEEPA duties and underlying executive orders are held unlawful by the Supreme Court, importers that have paid IEEPA duties, including Plaintiff, are not guaranteed a refund for those unlawfully collected tariffs," the lawsuit stated.

Costco said US Customs and Border Protection denied its request for more time to finalize tariff calculations. The company warned that entries it has paid duties on will begin to become "liquidated" as early as December 15, potentially eliminating its right to seek full reimbursement.

Dozens of Companies File Similar Suits

The Issaquah, Washington-based retailer joins dozens of other companies that have filed lawsuits since late October to protect their refund eligibility. Other household names pursuing similar legal action include cosmetics giant Revlon, eyeglass maker EssilorLuxottica, motorcycle manufacturer Kawasaki Motors, canned foods seller Bumble Bee, and tire company Yokohama.

Data from US customs indicates that importers have paid approximately $90 billion in IEEPA-linked duties as of late September. Treasury Secretary Scott Bessent has warned that repaying those tariffs could have severe fiscal consequences, calling such a scenario "terrible for the Treasury."

Supreme Court Justices Skeptical of Trump's Authority

The Supreme Court heard oral arguments on Trump's tariffs on November 5, with justices from both ideological wings expressing doubt about the administration's legal position. Lower federal courts have already ruled against the president, with the US Court of Appeals for the Federal Circuit affirming in a 7-4 decision that Trump exceeded his authority.

"The core Congressional power to impose taxes such as tariffs is vested exclusively in the legislative branch by the Constitution," the appeals court wrote. "Tariffs are a core Congressional power."

White House spokesperson Kush Desai responded to Costco's lawsuit by defending the administration's position.

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"The economic consequences of the failure to uphold President Trump's lawful tariffs are enormous and this suit highlights that fact," Desai said. "The White House looks forward to the Supreme Court's speedy and proper resolution of this matter."

Costco has taken steps to mitigate tariff impacts, including consolidating suppliers, increasing local sourcing, and rerouting some products to non-US markets. The company did not disclose the total amount it seeks in refunds.

The Supreme Court placed the case on an accelerated schedule but has not announced when it will issue a ruling.

Will the Supreme Court's decision reshape presidential trade authority for future administrations?

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