The Trump administration has formally notified the U.S. Court of International Trade (CIT) that it will appeal the court’s recent universal injunction requiring U.S. Customs and Border Protection (CBP) to refund invalidated IEEPA duties to all eligible importers.

The appeal challenges a ruling that directed CBP to process refunds, with interest, for approximately 330,000 importers. Justice Department attorneys argue that the CIT exceeded its authority by issuing a broad injunction, contending that refunds should be limited to businesses that specifically filed lawsuits seeking recovery of the duties.

The legal challenge comes as CBP had already begun implementing a phased refund process through the Automated Commercial Environment (ACE) portal. While some refunds have been issued, the administration’s appeal creates uncertainty about whether widespread refund processing will continue.

The case now moves to the U.S. Court of Appeals for the Federal Circuit. In the meantime, trade attorneys are advising importers to closely monitor liquidation dates and file timely protests to protect their potential refund rights as the litigation proceeds.

We also highly suggest that if you are an importer, and haven’t done so already, you should file your CAPE refund declaration with Customs as soon as possible if it qualifies to be filed in phase one.

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