In a significant legal battle, FedEx is taking action against the US government to recover tariffs imposed by the Trump administration, following a ruling by the Supreme Court that invalidated the legal grounds for those tariffs. This case not only highlights the complex dynamics of international trade but also underscores the ongoing challenges faced by logistics companies and retailers as they navigate the aftermath of sweeping trade policies.
FedEx has filed a lawsuit against the US government in the Court of International Trade, seeking a refund for the tariffs imposed during President Donald Trump’s administration. This legal move comes just days after the Supreme Court ruled that Trump exceeded his authority in implementing such tariffs, stating that only Congress has the power to impose them in peacetime. The ruling marks a significant shift in trade policy and governance, reaffirming the importance of congressional oversight.
In its legal complaint, FedEx argues that it has suffered substantial financial damage due to these tariffs and is now aiming for a full refund. The company had anticipated a staggering billion hit in 2026 from these tariffs and the cessation of tariff exemptions for small packages valued under 0, as reported by ZezapTV.
Despite the court’s landmark decision, uncertainty looms not just for FedEx, but for a multitude of logistics companies, global retailers, and consumers across the United States. The Supreme Court did not clarify how the government should handle refunds for the billions of dollars collected under the tariffs enacted through the International Emergency Economic Powers Act (IEEPA) or establish a clear process for these refunds.
Experts have indicated that it could take an extensive amount of time—potentially several months or even years—to untangle the complex web of tariffs and implement an effective refund process. Furthermore, former President Trump has hinted at introducing a new 15 percent “global tariff” that would affect future trade relations.
In a statement, FedEx emphasized that it is taking necessary steps to protect its rights as an importer of record in seeking duty refunds from US Customs and Border Protection, although they noted that no official refund process has yet been established by regulators or the courts. Industry groups such as the Chamber of Commerce and the National Retail Federation are advocating for an expedited refund process to benefit impacted businesses.
Several other companies, including major retailers like Costco and well-known brands such as Revlon and EssilorLuxottica, are also pursuing refunds for the tariffs imposed during this tumultuous period of trade policy. The Yale Budget Lab estimated that the US government collected approximately 2 billion in tariffs through the IEEPA as of mid-December 2025, with other estimates suggesting the total may be closer to 5 billion.
Although the IEEPA tariffs have been dismantled, numerous sector-specific tariffs remain in effect under various sections of the Trade Expansion Act and the Trade Act. The Yale Budget Lab also indicated that consumers can now expect an average tariff rate of 9.1 percent, which, while lower than the previous 16.9 percent rate under IEEPA, represents the highest average since the end of World War II.
This evolving landscape of trade tariffs and policies continues to shape the business environment, calling into question the future dynamics of international trade and economic relations.
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