FedEx Pursues Full Refund After Supreme Court Strikes Down Trump Tariffs

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LOS ANGELES, CALIFORNIA - FEBRUARY 01: The FedEx logo is displayed on a FedEx vehicle on February 1, 2023 in Los Angeles, California. FedEx is laying off over ten percent of its directors and officers in a move to slash costs amid slower demand from consumers following a pandemic-era surge in e-commerce. Mario Tama/Getty Images

Global shipping giant FedEx on Monday filed a lawsuit seeking a full refund for tariffs imposed under former President Donald Trump's trade policies, which the US Supreme Court struck down last week as illegal.

The company's suit, filed in the US Court of International Trade, comes shortly after the Supreme Court ruled that tariffs imposed under the International Emergency Economic Powers Act (IEEPA) exceeded legal authority.

"Plaintiffs seek for themselves a full refund from Defendants of all IEEPA duties Plaintiffs have paid to the United States," FedEx said in the complaint, which also includes its FedEx Logistics unit.

The lawsuit names US Customs and Border Protection (CBP), CBP Commissioner Rodney Scott, and the United States as defendants.

The shipping company did not disclose the total amount it is seeking. CBP and the White House did not respond immediately to requests for comment.

Washington-based law firm Crowell & Moring is representing FedEx.

According to Reuters, the firm also handles similar cases for major companies like Costco, Revlon, and EssilorLuxottica, all seeking refunds for IEEPA tariffs.

FedEx's suit appears to be the first filed by a major US company after the Supreme Court decision.

FedEx Moves to Recover Tariff Payments

While the Supreme Court confirmed that the Court of International Trade has "exclusive jurisdiction" over IEEPA tariffs, it did not address how refunds should be handled.

FedEx emphasized it is taking steps to protect its rights as an importer and is prepared to recover duties it paid.

"At this time, however, no refund process has been established by regulators or the courts," the company said in a statement.

FedEx has previously noted that US trade policies, including tariffs, significantly affected its earnings.

In September, the company projected a $1 billion impact on its fiscal year results, representing about 16% of the previous year's earnings, CNBC reported.

Not all of this loss was tied directly to IEEPA duties, but the company said the tariffs contributed to the financial strain.

The move by FedEx underscores broader uncertainty in US trade law after the Supreme Court ruling.

Companies that paid tariffs last year now face legal hurdles to reclaim their money, as regulators have not yet issued clear guidance on processing refunds.

FedEx has pledged to keep its customers and investors informed. "We will communicate any relevant information and updates in a timely manner, and we appreciate your patience as we wait for additional guidance and clarity from the US government and the courts," the company said.

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