FedEx starts the fight for tariff refunds by suing the Trump administration

By Tomi Kilgore

FedEx's suit, which will likely be followed by those from many other companies, could take years to be resolved as President Trump said

FedEx filed a lawsuit against the Trump administration for refunds on tariffs paid.

Days after the Supreme Court ruled most of President Donald Trump's tariffs were illegal, FedEx has gotten the ball rolling on refunds, suing the administration for refunds.

The package-delivery giant (FDX) will likely be followed by many other companies seeking a refund, even though the Supreme Court's ruling didn't mention refunds, and as Trump said those seeking refunds could be in court "for the next five years."

FedEx wasn't the first large company to fight for refunds. Costco Wholesale (COST) and other companies had sued the Trump administration late last year in a pre-emptive move in anticipation of a favorable Supreme Court ruling.

Late Monday, FedEx filed suit in the U.S. Court of International Trade against the U.S. Customs and Border Protection, as well as CBP Commissioner Rodney Scott.

The company said it has paid duties - imposed by tariffs that have been ruled unlawful - on "numerous" entries of imported goods. The suit, which doesn't provide a dollar amount for tariffs paid, is requesting the court order the CBP to reopen entries that have already been finalized, remove duties on entries that have not yet been finalized and order the U.S. to refund all duties already collected under the unlawful tariffs.

FedEx's stock edged up 0.3% in Tuesday's premarket session.

The stock hasn't been hurting too much from the tariffs. It has risen 32.8% so far this year, closing at a record $388.48 on Friday. And since "liberation lay" on April 2, 2025 - when the Trump administration first announced a host of tariffs on trading partners - the stock has soared 56.5% through Monday.

Meanwhile, shares of rival United Parcel Service (UPS) tacked on 0.2%, and have climbed 16% this year.

The company has said in the past that, once tariffs were implemented last year, volumes from countries hit with import duties fell, and, in the case of volume from China, "deteriorated sharply."

In December, FedEx said it wasn't expecting a favorable ruling, and didn't incorporate the possibility in its 2026 financial guidance, but did say if tariffs were removed, it would boost international volumes.

-Tomi Kilgore

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02-24-26 0815ET