Nintendo Sues U.S. Government For Tariff Refunds

On March 6, 2026, Nintendo of America filed a lawsuit against multiple U.S. federal agencies.

The company wants a refund on the tariffs it was forced to pay under a series of executive orders that the Supreme Court has since ruled were illegal.

Background

Starting February 1, 2025, U.S. President Trump signed a series of executive orders invoking the International Emergency Economic Powers Act or IEEPA to justify sweeping tariffs on imports from dozens of countries. Canada, Mexico, China, Vietnam, India, Brazil, and more were all hit.

The justifications varied. Some tariffs were framed around drug trafficking and fentanyl. Others targeted trade deficits. One even cited national security concerns tied to Russia's invasion of Ukraine and used that to slap a 25% tariff on imports from India.

China got hit the hardest. Tariff rates on Chinese goods went through multiple rounds of increases, eventually reaching 125% under what was called the "Liberation Day" tariff orders.

The timing could not have been worse for Nintendo, which was in the final stretch before launching the Nintendo Switch 2. The company took the rare step of delaying its U.S. pre-orders, citing the "evolving market conditions."

Pre-orders eventually went live on April 24, and the Switch 2 launched on June 5 at its originally announced price of $449.99. That price held, but it came at a cost. According to reports by Bloomberg, Nintendo rerouted most of its Vietnam-manufactured units to the U.S. to absorb the financial impact and avoid raising the console's price.

Accessories were not so lucky. The Nintendo Switch 2 Pro Controller, Joy-Con 2 Pair, and Joy-Con 2 Charging Grip all saw price hikes due to the increased duties.

The Courts Rule the Tariffs Unlawful

Legal challenges to the tariffs began almost immediately. The first case, V.O.S. Selections, Inc. v. Trump, was filed at the Court of International Trade on April 14, 2025. The court ruled in favor of the plaintiffs, finding that the IEEPA did not authorize the imposition of tariffs. The Federal Circuit upheld that ruling on appeal.

On February 20, 2026, the Supreme Court issued its opinion in the consolidated case Learning Resources, Inc. v. Trump, affirming both lower court rulings. The Court held that the power granted to the President under IEEPA to "regulate importation" does not extend to imposing tariffs. Put simply: Trump didn't have the legal authority to do what he did.

Later that same day, Trump signed an executive order ending the tariff collection. But that order said nothing on the matter of refunding duties already collected, leaving importers without a clear path to recovery.

Nintendo Wants Its Money Back

That's where Nintendo comes in. The company has been importing goods from multiple countries subject to these tariffs. It paid up because it had to. Now the duties have been ruled illegal, and Nintendo wants a refund with interest.

The lawsuit points out that the government had already admitted in earlier proceedings that refunds would be owed if the tariffs were struck down. In the government's own words from a prior filing: "If tariffs imposed on plaintiffs during these appeals are ultimately held unlawful, then the government will issue refunds to plaintiffs, including any post-judgment interest that accrues."

The government has also, in separate stipulations, conceded that it will not oppose the Court's authority to order reliquidation of affected entries.

The government said it. Now Nintendo is holding them to it.

Nintendo argues that despite these concessions, importers have no guarantee of repayment without a binding court order, making this independent legal action necessary.

Nintendo is asking the court to declare the tariffs void from the start, order the government to reliquidate any processed entries, and issue a full refund of every dollar paid.

Nintendo is not alone. Companies like Costco and FedEx are among those that have also filed suits challenging the tariff policies.

As per the reports by CNBC, U.S. Customs and Border Protection told a judge that it had collected approximately $166 billion in tariffs as of late February. Judge Richard Eaton of the Court of International Trade ruled that companies are entitled to refunds. However, CBP later filed a statement saying it cannot immediately comply with that order, estimating a refund system could be operational within 45 days, according to the Wall Street Journal.

Source: Aftermath