FedEx Sues US Government Over Tariff Refund Following Supreme Court Ruling

FedEx Files Lawsuit to Recoup Tariff Fees

FedEx has filed a lawsuit against the US government in an effort to obtain a refund for tariffs imposed by President Donald Trump. The company claims it has suffered financial losses due to the tariffs and is seeking a full refund.

The US Supreme Court recently ruled that Trump overstepped his authority in imposing tariffs during peacetime, stating that only Congress has the power to do so under the 1977 International Emergency Powers Act (IEEPA). FedEx filed its lawsuit on Monday against Customs and Border Protection and Commissioner Rodney Scott, who are responsible for collecting the tariffs.

According to FedEx’s complaint, the company expects to incur a $1 billion loss in 2026 due to the tariffs. The company has also stated that it will seek a full refund from the US government following the Supreme Court ruling.

Despite the court’s landmark decision, there is still uncertainty regarding refunds for billions of dollars in tariffs collected under IEEPA. Experts estimate that it could take months or even years to resolve the issue.

Other companies, including Costco and Revlon, are also seeking tariff refunds. The Chamber of Commerce and National Retail Federation have expressed support for a swift refund process.

The US government has imposed various tariffs on goods, with an estimated $142 billion collected under IEEPA as of mid-December 2025. Other tariffs remain in place, including sector-specific tariffs imposed under Section 232 and Section 301 of the Trade Expansion Act and Trade Act of 1974.

The average tariff rate is now 9.1 percent, down from 16.9 percent under the IEEPA but higher than any rate since World War II.

Source: Al Jazeera