Costco sues Trump administration over tariffs : NPR

A shopper pushes a cart toward the entrance of a Costco warehouse in Colorado.

David Zalubowski/AP

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David Zalubowski/AP

Costco is now one of the largest companies to sue the Trump administration over tariffs, hoping to secure a refund if the Supreme Court declares the new import duties illegal.

The Supreme Court is weighing the future of President Trump’s tariffs on nearly all imports. Justices seemed skeptical about the tariffs’ legality during last month’s oral arguments. Lower courts had previously found that Trump had improperly used emergency economic powers to set most of the new levies.

Dozens of companies across industries have filed lawsuits to seek refunds in the event that the Supreme Court finds Trump’s tariffs illegal. The list includes makeup giant Revlon, canned-foods maker Bumble Bee and Kawasaki, which makes motorcycles and more. Now Costco has joined the queue.

“This is the first time we’re seeing big companies take their heads out of the sand publicly,” said Marc Busch, a trade law expert at Georgetown University. For the most part, small companies have been leading the legal action against tariffs, he said, adding, “It’s nice to finally see some heavyweights joining in the fray.”

In its suit filed with the U.S. Court of International Trade, Costco did not specify how much it has already paid in tariffs. But the retail giant worries that even if the Supreme Court eventually unravels Trump’s tariff regime, it may not be able to recoup all that money.

Costco executives in May had said that about a third of what it sells in the U.S. comes from abroad, predominantly nonfood items.

Newsportu’s Scott Horsley contributed to this report.