A lawsuit filed with the U.S. Court of International Trade (CIT) on Sept. 10, 2020, seeks to upend the Trump Administration’s authority to collect certain tariffs imposed during the trade war with China.

IHMTX Industries LLC, along with Halstead New England Corporation, and Metroflor Corporation (importers of vinyl tile) filed a complaint (Ct. No. 20-00177) alleging that the United States Trade Representative (USTR) violated the Trade Act of 1974 when instituting Section 301 tariffs on imports from China under List 3.

The plaintiffs seek to be repaid for all 25% additional tariffs paid on imports from the introduction of List 3 tariffs, which began in September of 2018.

This lawsuit could have huge implications for importers with 301 duties on lists 3 and 4A since it could result in a refund of duties paid if successful. However, those affected need to take legal action now.

The deadline to file under the statute of limitations is unclear at this time. Our best advice is to contact a trade attorney as soon as possible.

If you’ve been affected by the List 3 tariffs, please let us know how we can help.