Government appeals judge's order to refund illegal tariffs to all importers

Government attorneys have filed an appeal to the U.S. Court of Appeals for the Federal Circuit challenging a Court of International Trade order that directs the U.S. Customs and Border Patrol to provide tariff refunds to all importers who paid duties later ruled illegal, irrespective of whether they filed suit. The brief, filed in June and opened on Monday, relies on a Supreme Court case from June 2025 that restricted the use of universal injunctions, arguing the judge's directive conflicts with that precedent.

To date, Customs and Border Patrol has processed roughly $100 billion in refunds, but a congressional rule prevents reprocessing for cases where the administrative refund route is unavailable, leaving affected firms to pursue litigation. The government maintains that companies not party to the original lawsuits can still bring actions within the statute of limitations. Law professor Barry Appleton notes the government's legal argument appears stronger, yet the requirement may burden smaller businesses lacking resources to sue. The controversy underscores the tension between broad judicial relief and its practical impact on the trade community.