Costco Faces Customer Lawsuit Over Potential Tariff Refunds

Costco Wholesale is facing a proposed consumer class action lawsuit in the United States over potential refunds tied to import tariffs that were later ruled unlawful. The lawsuit was filed in federal court in Illinois by a Costco member who argues the retailer should reimburse customers for higher prices allegedly driven by the tariffs.

The legal dispute follows a U.S. Supreme Court decision that invalidated broad import tariffs imposed during President Donald Trump’s administration under the International Emergency Economic Powers Act (IEEPA). The ruling triggered a wave of legal claims from importers seeking to recover duties already paid to the U.S. government.

According to U.S. Customs and Border Protection, more than 330,000 importers collectively paid around $166 billion in tariffs under the disputed policy. Companies across multiple industries have launched legal actions to secure refunds through the U.S. Court of International Trade.

Costco itself previously sued the federal government seeking reimbursement for duties it paid under the program. The new consumer lawsuit, however, argues that if the retailer ultimately receives tariff refunds, it should return the financial benefit to shoppers who allegedly absorbed part of the cost through higher retail prices. Legal experts say such claims could complicate the broader refund process as the government works to design a system to distribute the massive amount of potential repayments.