US trade judge warns DOJ appeal could disrupt $166B Trump tariff refunds
Judge Richard K. Eaton summoned CBP commissioner for a hearing after the DOJ moved to limit who qualifies for refunds on unconstitutional IEEPA tariffs.
A US Court of International Trade judge is sounding the alarm. The Department of Justice’s decision to appeal a universal tariff refund order could throw a wrench into the repayment of $166 billion in duties collected under tariffs the Supreme Court already struck down as unconstitutional.
The backstory: how $166 billion in tariffs got invalidated
In February 2026, the US Supreme Court ruled that tariffs imposed by the Trump administration under the International Emergency Economic Powers Act (IEEPA) were unconstitutional. Following that ruling, Judge Eaton ordered Customs and Border Protection (CBP) to begin processing universal refunds on approximately $166 billion in collected duties, meaning every affected importer would be eligible, not just the ones who had filed lawsuits.
Initial refund claims started being processed in May 2026. Approvals were expected to take somewhere in the range of 60 to 90 days.
The DOJ’s play: limit who gets paid
On May 29, 2026, the DOJ filed an appeal notice. The core argument is that refunds should be limited to only those importers who actively litigated against the tariffs.
Judge Eaton has summoned CBP Commissioner Rodney S. Scott to appear at a hearing on June 9, 2026, specifically to address delays in the refund process. The appeal poses direct risks to the 60-to-90-day approval timeline that was already underway.
Earn with Nexo