Federal Court Rejects Attempt to Slow Tariff Refund Process

The Supreme Court struck down Trump's tariffs as illegal last month, opening the door for billions in refunds.

Published on Mar. 2, 2026

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A federal court has rejected the Trump administration's attempt to slow the process of refunding billions of dollars in tariffs that the Supreme Court ruled were illegally imposed. The U.S. Court of Appeals for the Federal Circuit is now sending the refund process to a lower court to sort out the details, despite the Justice Department's request for a 90-day delay.

Why it matters

The Supreme Court's ruling that Trump's sweeping tariffs were illegal clears the way for importers who paid the tariffs to seek refunds, which could total $175 billion. However, the process of issuing those refunds remains unclear, raising questions about how the government will handle the massive payout.

The details

The federal court rejected the Trump administration's request to delay the refund process by 90 days. The U.S. Court of International Trade in New York will now decide how the complicated refund process should proceed. Trade lawyers expect the court to take an aggressive posture in pushing the government to comply with the Supreme Court's ruling.

  • On February 20, 2026, the Supreme Court ruled that Trump's tariffs were illegal.
  • On March 3, 2026, the federal court rejected the Trump administration's attempt to slow the refund process.

The players

Trump administration

The former presidential administration that imposed the tariffs that were later ruled illegal by the Supreme Court.

U.S. Court of Appeals for the Federal Circuit

The federal court that rejected the Trump administration's attempt to delay the tariff refund process.

U.S. Court of International Trade

The lower court that will now decide how the complicated tariff refund process should proceed.

Ryan Majerus

A trade lawyer and partner at King & Spalding, as well as a former U.S. trade official.

Siddartha Rao

A partner at the law firm Hoguet Newman Regal & Kenney.

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What they’re saying

“I would expect the Court of International Trade to quickly issue an order requesting a status update from the government on their plans with respect to refunds (or expedited briefing).”

— Ryan Majerus, Trade lawyer and partner at King & Spalding, former U.S. trade official

“We are somewhat in uncharted territory.”

— Siddartha Rao, Partner at Hoguet Newman Regal & Kenney

What’s next

The U.S. Court of International Trade in New York will now decide how the complicated tariff refund process should proceed, likely pushing the government to quickly comply with the Supreme Court's ruling.

The takeaway

This case highlights the ongoing legal and financial challenges the government faces in unwinding the Trump administration's extensive use of tariffs, which could ultimately cost taxpayers billions in refunds despite the administration's efforts to slow the process.