International trade policy can change quickly, but the series of events that unfolded between February 20 and March 5, 2026, created an especially fast-moving situation for importers. Within just a few weeks, court rulings, presidential announcements, and formal guidance from U.S. Customs and Border Protection (CBP) significantly reshaped the tariff landscape.
Below is a clear timeline of the major developments and what they meant for businesses importing goods into the United States.
February 20, 2026
Supreme Court Limits IEEPA Tariff Authority
The first major development occurred on February 20, when the U.S. Supreme Court issued a landmark ruling regarding the International Emergency Economic Powers Act (IEEPA).
In a 6 to 3 decision, the Court ruled that IEEPA does not give the President the authority to impose broad tariffs on imports. The ruling specifically addressed tariffs that had previously been implemented under national emergency declarations using IEEPA as the legal justification.
The Court’s reasoning focused on the constitutional role of Congress. According to the decision, the power to set tariff rates and establish import duties belongs to Congress, and IEEPA does not transfer that authority to the President.
This decision raised immediate questions for importers because many tariffs in effect at the time relied on IEEPA as their legal foundation.
However, despite the significance of the ruling, there was no immediate operational change. U.S. Customs and Border Protection had not yet issued compliance instructions or a CSMS message directing importers to stop reporting or paying those duties. As a result, companies were advised to continue filing entries and reporting duties in the normal manner until official guidance was released.
It was also important to note that the ruling did not impact other trade measures such as Section 232 tariffs, Section 301 tariffs, or antidumping and countervailing duties.
February 20, 2026 (Later the Same Day)
A New Tariff Proposal Emerges
Later that same day, another major development occurred during a live press conference.
President Trump announced that the administration intended to impose a new global tariff of 10 percent on imports. According to the announcement, the administration planned to use Section 122 of the Trade Act of 1974 as the legal authority for the measure.
The President stated that the tariff would apply globally and was intended to take effect immediately. However, no Executive Order had been released at that time, and CBP had not yet issued any formal implementation guidance.
Several important questions remained unanswered following the announcement. There were no details about the specific HTSUS provisions that would be used, possible exemptions, treatment of goods already in transit, or how the new tariff might interact with existing trade remedies such as Section 232 duties.
Another topic raised during the press conference involved refunds for tariffs previously collected under IEEPA. The President indicated that any refund process would likely proceed through litigation, although no specific plan or timeline was announced.
At this stage, importers were reminded that tariff enforcement does not begin with a press conference announcement. Implementation occurs only after formal government actions and CBP guidance are published.
February 24, 2026
CBP Issues Formal Implementation Guidance
Four days later, on February 24, CBP released official guidance implementing the new tariff measure.
Through CSMS message #67844987, CBP confirmed the implementation of a temporary 10 percent import surcharge under Section 122 of the Trade Act of 1974.
The new duty applied to goods entered for consumption or withdrawn from the warehouse beginning at 12:01 a.m. Eastern Time on February 24, 2026. The tariff was scheduled to remain in effect for 150 days, with a planned expiration date of July 24, 2026.
The surcharge is reported under HTSUS provision 9903.03.01.
Unlike many previous trade actions that targeted specific countries or industries, this tariff applied broadly to imports from all countries unless a specific exemption applied. The measure was also stacked on top of other duties. This meant that goods already subject to Section 301, Section 232, or Section 201 tariffs could still face those duties in addition to the new 10 percent surcharge.
CBP’s guidance also identified several exemptions. These included certain shipments already in transit before February 24 that were entered before February 28, USMCA qualifying goods from Canada and Mexico, civil aircraft and related parts, certain agricultural and humanitarian materials, and most Chapter 98 entries.
Foreign Trade Zones were also addressed. Goods admitted into a zone on or after February 24 that were subject to the surcharge generally had to be admitted in privileged foreign status. CBP also confirmed that drawback would be available for the Section 122 duty.
For many importers, the removal of earlier IEEPA tariffs combined with the new 10 percent surcharge resulted in an overall reduction in tariff exposure depending on country of origin and product classification.
March 4–5, 2026
Court Orders Refunds of IEEPA Tariffs
The next major development arrived less than two weeks later.
On March 4, 2026, the U.S. Court of International Trade issued an order directing CBP to refund tariffs previously collected under IEEPA on certain import entries.
The court instructed CBP to liquidate all unliquidated entries without applying IEEPA tariffs. For entries that had already been liquidated but were not yet final, CBP was ordered to reliquidate those entries without the IEEPA duties.
This ruling followed earlier court findings that IEEPA did not provide statutory authority for imposing tariffs. As a result, importers whose entries had been subject to those duties may now be eligible for refunds depending on the status of their entries.
However, the process is not yet finalized. The U.S. Department of Justice is expected to appeal the decision, and additional court proceedings are likely to address how the ruling will be implemented.
At the time of the advisory, CBP had not issued operational guidance explaining how refunds or reliquidations would be processed.
What Importers Should Do Now
Although these developments represent significant progress for importers seeking refunds on IEEPA tariffs, the practical implementation process is still unfolding.
At this stage, no immediate action is required until CBP releases additional instructions. When the agency provides operational guidance, it will likely appear through a CSMS message or additional regulatory announcements.
Importers are strongly encouraged to review earlier advisories regarding refund procedures and ensure they are prepared for potential refund processing. One important step is registering for an ACE Portal account if one is not already established. Companies should also review the ACH refund authorization process to ensure refunds can be processed efficiently.
Looking Ahead
The events between February 20 and March 5 demonstrate how quickly the international trade environment can shift. A Supreme Court ruling, a new tariff proposal, formal CBP implementation, and a major court decision on refunds all occurred within a span of just over two weeks.
As additional legal and regulatory guidance emerges, the situation will continue to evolve. Importers should stay informed and maintain close communication with their customs advisors to understand how these developments may affect their supply chains, duty exposure, and potential refund opportunities.
If you have questions about how these developments may affect your business, the team at Krenz and Hannan International is available to assist with guidance, strategy, and support.