Importers received another meaningful update this week regarding the ongoing litigation over tariffs imposed under the International Emergency Economic Powers Act (IEEPA). On March 4, 2026, the U.S. Court of International Trade (CIT) issued an order directing U.S. Customs and Border Protection to remove the IEEPA duties from impacted entries and begin implementing the refund process for those tariffs.

This development follows the U.S. Supreme Court’s February 20th ruling that IEEPA does not provide the President with authority to impose tariffs. After that decision, CBP stopped collecting IEEPA duties beginning February 24. The CIT’s most recent order now addresses how duties that were previously collected between February 2025 and February 2026 should be handled.

Under the order, CBP has been instructed to liquidate or reliquidate entries without the IEEPA duties where feasible. In practical terms, entries that remain unliquidated may ultimately be finalized without those tariffs applied. Entries that have already liquidated but are not yet final may require adjustment so that duties can be refunded. This order represents an important step toward implementation, as it signals that refunds are moving from concept to execution. For unliquidated entries, refunds are expected to occur automatically as part of the liquidation process. The exact administrative approach for liquidated entries has not yet been confirmed, though protests may ultimately become the primary recovery mechanism. Even so, this outcome would be significantly less burdensome for importers than many had initially anticipated.

Additional Guidance Should be Forthcoming Soon

Judge Richard Eaton has been assigned to oversee coordination among the growing number of related cases, and a conference scheduled for March 6 is expected to begin outlining how CBP will administer the refund process. One key issue likely to be addressed is whether a centralized refund mechanism will be established rather than requiring individual filings by each importer.

For U.S. importers, the decision represents a significant development. Companies should begin identifying potentially affected entries and reviewing their liquidation status so they are prepared once CBP releases formal implementation instructions. Depending on how entries were processed, recovery strategies may include post-summary corrections, protests, or other procedural actions to preserve refund eligibility.

It is important to note that the ruling applies specifically to tariffs imposed under IEEPA. Other trade measures remain in place, including Section 232 duties on steel, aluminum, and automobiles, as well as Section 301 tariffs on Chinese-origin goods. The recently implemented Section 122 tariffs are also unaffected by this decision.

While the courts have now made clear that IEEPA cannot serve as a legal basis for these tariffs, the administrative process for issuing refunds will likely take some time to fully develop. We expect additional direction from both the Court of International Trade and CBP in the coming weeks.

We will continue to monitor developments closely and would be happy to assist in identifying impacted entries, evaluating refund eligibility, and developing an appropriate recovery strategy.