FedEx has joined many other companies in suing Trump after a Supreme Court ruling over his tariffs. On February 20, 2026, the Trump Administration International Emergency Economic Powers Act and the tariffs it creates was ruled unconstitutional by the Supreme Court.
FedEx company executives expected a $1 billion hit to profits in 2025 because of the Trump Administration policies. “FedEx has taken necessary action to protect the company’s rights as an importer of record to seek duty refunds from U.S. Customs and Border Protection following the U.S. Supreme Court’s ruling that the tariffs issued under the International Emergency Economic Powers Act (IEEPA) are unlawful,” a representative for FedEx claimed. They sought an order from the trade court that would force customs and Border Protection to refund duties paid last year.
The court ruled that the statute does not authorize the president to impose tariffs on imports, affirming lower court rulings from 2025 that struck down trade penalties. Filed in the U.S. Court of International Trade back in 2025 they first ruled the tariffs unlawful. Although the court did not indicate eligibility for refunds, it appears now with the reaffirmation, the government owes billions of dollars to the businesses that paid for the IEEPA tariffs.
The issue was expected to flood the lower courts with lawsuits. Companies such as Dole, Prada, Costco, Staples, and Barnes & Noble filed lawsuits against the Trump Administration in late 2025 flowing into early 2026. Despite the recent 15% global tariffs imposed by Trump, companies are hoping to earn $150 billion back in refunds from the invalidated tariffs.
