Nongshim U.S. Unit Sues for More Than 4 Billion Won in Trump-Era Tariff Refunds

Nongshim, a South Korean food company, has filed a lawsuit against the U.S. government and the U.S. Customs and Border Protection (CBP) seeking over 4 billion won in tariff refunds from the Trump administration era. This legal action arises from the Supreme Court's ruling in February 2026, which stated that President Trump lacked authority under the International Emergency Economic Powers Act (IEEPA) to impose tariffs.

Despite this ruling, Nongshim's U.S. subsidiary filed the suit on October 28, 2025, demanding the full return of tariffs collected under IEEPA, along with interest, and the reliquidation of import entries for which duties have already been assessed. The dispute stems from the imposition of tariffs by the Trump administration in 2025, aimed at addressing trade deficits.

However, CBP ceased collecting these tariffs on February 24, 2026, and initiated refund procedures in April 2026, but excluded from automatic refunds those import shipments whose duty amounts had been finalized approximately 10 months after entry. Nongshim estimates that the total amount eligible for refund exceeds several billion won, primarily due to tariffs of 10% to 15% on shipments from its Korean parent company to the U.S. subsidiary between April 2025 and February 2026, which amount to approximately 4 billion won, or $2.98 million.

If additional imported goods, including Danish potato starch, are considered, the claim amount could be even larger. Nongshim is the first South Korean food company to take this legal action, and the case may set a precedent for other companies with larger refund claims.