Court of International Trade Orders Refunds for IEEPA Tariffs

On March 4, 2026, the Court of International Trade (CIT) issued an order in a case brought by an importer seeking refunds of tariffs collected under the International Emergency Economic Powers Act (IEEPA). The CIT order follows the U.S. Supreme Court’s February 20 decision invalidating the IEEPA tariffs.

While the CIT’s position could be reversed on appeal, the court decided that:

• U.S. Customs and Border Protection (CBP) must take certain administrative actions to begin the process of unwinding the IEEPA tariffs
• Importers that paid IEEPA tariffs are due refunds provided that “liquidation” is not “final”
• CBP is to issue refunds to all such importers regardless of whether they have filed suit before the CIT

Liquidation in the Ordinary Course

In general, an importer must pay any duties owed at the time that goods are imported into the United States. CBP fixes the amount of the duty owed (a process called “liquidation”) within 314 days of importation. The importer then has 180 days to protest the amount of duties charged before CBP.

March 4 CIT Order

In its March 4 order, the CIT instructs CBP to take the following actions with respect to imports on which IEEPA tariffs were paid:

• Liquidate “any and all” unliquidated entries “without regard to the IEEPA duties”
• Reliquidate “without regard to IEEPA duties” any “liquidated entries for which liquidation is not final”

The CIT’s direction that entries be liquidated “without regard to IEEPA duties” implies that CBP will be required to refund to the importer the IEEPA tariff amounts paid. The order’s reference to “liquidated entries for which liquidation is not final” appears to reference entries for which the 180-day protest period has not elapsed, or for which an importer has timely protested within the 180-day protest period.

Although the CIT’s order came in the context of a case involving a single plaintiff importer, the CIT made clear that its directive regarding liquidation applies to all imports on which IEEPA tariffs were collected and that otherwise fall within the order’s scope as described above. Given the court’s intentionally broad language, and its invocation of the constitutional mandate of “uniformity,” it is clear that the order’s effect will not be limited to imports of the plaintiff in the case. The CIT judge who issued the order, Judge Richard K. Eaton, emphasized there is no risk of inconsistent rulings from the CIT, as the CIT’s Chief Judge has assigned all cases pertaining to IEEPA refunds to Judge Eaton.

For those who have paid IEEPA tariffs or who have an interest in anticipated tariff refunds, the March 4 order is a potentially major step forward. The situation could change if the government pursues appeals in the U.S. Court of Appeals for the Federal Circuit or the Supreme Court. But the CIT, which is immediately responsible for all tariff cases, has now unequivocally affirmed that importers are due IEEPA tariff refunds if they have not missed and do not miss the deadline for protesting before CBP. Since IEEPA tariffs were first collected in February 2025, it would seem that few or no importers have missed this deadline (180 days following liquidation).

What About Interest on Tariff Refunds?

The order does not address payment of interest on refunds. The better view appears to be that refunds should include interest that accrues from the date that the importer paid the tariff amount. But it is not certain how the courts will resolve the interest question in these novel circumstances.

The CIT has scheduled a March 6 hearing in this case. The court expects the government to describe its plan to execute tariff refunds at that hearing.

Recommendations

Except to the extent that the following steps prove unnecessary in light of any special refund process that is established, importers should:

• Establish the identities of imports on which they have paid IEEPA tariffs, tariff amounts, and whether each such import is liquidated
• File post-summary corrections (PSCs) with CBP for unliquidated subject imports – it is possible that the government will begin paying refunds on the basis of PSCs
• File protests with CBP for liquidated subject imports (given the order’s reference to “final” liquidation, it may be crucial to establish that imports are not “finally” liquidated by protesting them)
• Closely monitor developments at the CIT and other courts