Costco Joins Lawsuits Challenging Trump-Era Tariffs
SEATTLE – Costco Wholesale Corporation has filed a lawsuit against the U.S. government seeking refunds for tariffs paid under policies enacted during the Trump administration, becoming a major corporate player in a growing legal battle over the constitutionality of those import taxes. The move signals a shift in corporate response to the tariffs,which have largely been challenged by smaller companies until now.
Dozens of companies, including Revlon, Bumble Bee, and Kawasaki, have already filed similar suits seeking refunds should the Supreme Court deem the tariffs unlawful. CostcoS entry into the legal fray underscores the significant financial impact these tariffs continue to have on businesses, even after the change in administration. The lawsuit centers on concerns that even a favorable Supreme Court ruling may not guarantee full reimbursement of paid tariffs.
According to trade law expert Marc Busch of georgetown University, Costco’s decision marks a turning point. “This is the first time we’re seeing big companies take their heads out of the sand publicly,” busch said. “For the most part, small companies have been leading the legal action against tariffs…it’s nice to finally see some heavyweights joining in the fray.”
The lawsuit,filed with the U.S. Court of International Trade, does not disclose the total amount Costco has paid in tariffs. However, company executives stated in May that approximately one-third of its U.S. sales consist of imported goods, primarily non-food items. Costco fears potential limitations in recouping funds even if the Supreme Court ultimately strikes down the tariff regime.
The case arrives as the Supreme Court considers challenges to tariffs imposed by President Trump – the highest such taxes as the great Depression – with arguments scheduled this week to determine their constitutionality. NPR’s Scott Horsley contributed to this report.