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US appeals court denies Trump bid to delay tariff refund lawsuits

Thomas Barnes by Thomas Barnes
March 2, 2026
in Economy
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Companies have filed hundreds of lawsuits seeking refunds on tariffs paid to US President Donald Trump's administration. ©AFP

Washington (United States) (AFP) – A US federal appeals court on Monday rejected President Donald Trump’s push to delay legal proceedings linked to tariff refunds, allowing the battle to proceed in a lower court. The Supreme Court last month delivered a stinging rebuke of Trump’s signature economic policy by striking down his global tariffs, opening the door to a complicated legal fight as companies sue for their money back. The tariffs ruled illegal had generated over $130 billion for the US government as of late 2025.

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The Trump administration argued Friday for a delay of up to four months before litigation on refunds is brought up again at the US Court of International Trade. But the demand was denied Monday in an order by the US Court of Appeals for the Federal Circuit. A group of small businesses whose case is before the court said in an earlier filing Monday that the Trump administration’s call for a months-long delay was “plainly unreasonable.” “This Court should not accept the government’s invitation to grant forms of relief the Supreme Court obviously found inappropriate,” they argued. The Supreme Court decision does not impact Trump’s sector-specific duties.

**Rush for refunds** – Trump’s global tariffs have triggered a barrage of legal pushback. The Liberty Justice Center, a group representing some of the small businesses challenging the tariffs, estimates that more than 900 claims seeking refunds have been filed in federal court. These include claims by major firms like delivery and freight giant FedEx, which filed a suit last month, and warehouse retailer Costco, whose challenge came before the Supreme Court’s ruling. Others that have filed cases recently include appliances maker Dyson and cosmetics giant L’Oreal. Some analysts estimate that over 1,000 corporate entities are already involved in the fight for repayments.

The US Court of Appeals for the Federal Circuit ruled in August last year that many of Trump’s tariffs were illegal but would return the question of refunds to the Court of International Trade. It held off on returning the case to the lower court as Trump appealed to the Supreme Court — though on Monday lifted the halt. “For months, the government insisted there was no irreparable harm because businesses could always be made whole through refunds,” the Liberty Justice Center said in a statement last week. “The government cannot have it both ways. It cannot argue there is no harm because refunds are available — and then delay when the time comes to return the money,” it added.

After the high court struck down his country-specific tariffs, Trump tapped a different law to impose a new 10-percent duty on imports. He has threatened to hike the level to 15 percent. On Friday, Trump again slammed the ruling on social media: “Is a Rehearing or Readjudication of this case possible???”

© 2024 AFP

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