Costco has filed a lawsuit against the U.S. government in order to get refunds if the U.S. Supreme Court rules that President Donald Trump illegally imposed tariffs. The retailer filed a complaint on Friday with the U.S. Court of International Trade. The news comes after two lower courts ruled that Trump exceeded his authority by using emergency powers to impose tariffs.
Why is Costco suing the Trump administration?
The corporation is seeking a refund of sums it deems it should not have had to pay and that were caused by Trump’s tariffs on imports. Costco said U.S. Customs and Border Protection denied its request for additional time in order to make final calculations of tariffs owed, according to Reuters.
CNN reported that Costco is the third-largest retailer in the world and obtained a revenue of $275.2 billion in its fiscal year ending August 31. Although it did not share how much it is seeking in refunds, the corporation is estimated to have paid about $90 billion as of late September 2025, according to the BBC. Costco reportedly took actions to address tariffs such as reducing the number of suppliers and relying on additional local sourcing, as well as its in-house Kirkland brand.
In its lawsuit, Costco said it was concerned it wouldn’t get refunded if the U.S. Supreme Court upholds rulings that Trump’s tariffs are illegal. Other companies have sued for the same reason, including Bumble Bee Foods, Ray-Ban eyeglass maker EssilorLuxottica, Kawasaki Motors, Revlon and Yokohama Tire, according to CNN.
Why did the case on Trump’s tariffs reach the U.S. Supreme Court?
In May, the US Court of International Trade ruled that Trump’s use of the International Emergency Economic Powers Act in order to impose tariffs was illegal. The decision was then affirmed by the US Court of Appeals.
The case was then brought up to the U.S. Supreme Court for a final ruling on the matter. On Nov. 5, justices questioned whether Trump legally used his emergency powers and imposed tariffs without the approval of Congress. The Supreme Court justices took the case on an accelerated basis but did not disclose when they would rule.
The Trump administration has argued that a ruling against tariffs would affect international trade negotiations.
“The economic consequences of the failure to uphold President Trump’s lawful tariffs are enormous and this suit highlights that fact,” White House spokesperson Kush Desai said in a statement to the press, per the BBC. “The White House looks forward to the Supreme Court’s speedy and proper resolution of this matter.”