U.S. Customs and Border Protection (CBP) is denying most requests for IEEPA-related liquidation extensions.
Importers are instead advised to file a timely protest or a lawsuit in the U.S. Court of International Trade (CIT) to preserve their right to a potential tariff refund if the Supreme Court rules the tariffs unlawful.
The IEEPA Liquidation Issue
Entries subject to tariffs under the International Emergency Economic Powers Act (IEEPA) typically liquidate (become final) about 314 days after entry. Once liquidated, the importer generally has only 180 days to file a protest to challenge the duties.
CBP Position on Extensions
CBP has indicated in informal discussions and actions (such as denying Costco's request) that it will not generally grant extensions for IEEPA entries pending the Supreme Court's decision, arguing that preserving refund rights is not a valid basis for an extension. Extensions are discretionary and can be granted for up to a year, but importers should not rely on them as a primary strategy.
Supreme Court Case
The Supreme Court is reviewing the lawfulness of the IEEPA tariffs in V.O.S. Selections v. United States. A decision is expected by early to mid-2026, which means the 180-day protest window for many early entries will close before a ruling is issued.
Risk of Inaction
If an entry liquidates and the protest deadline passes, the liquidation becomes "final and conclusive" under 19 U.S.C. § 1514, and the importer risks forfeiting their right to a refund even if the Supreme Court invalidates the tariffs.
Recommended Actions for Importers
Trade experts recommend importers take proactive steps to preserve their rights.
For unliquidated entries
File a Post-Summary Correction (PSC): Importers can file a PSC electronically through the ACE system to correct entry data and potentially remove the IEEPA tariffs before liquidation.
Request an extension (with caution)
Although likely to be denied, requesting an extension helps document good-faith efforts, which may support future arguments that administrative remedies were inadequate.
Consider a CIT lawsuit
Many companies are filing lawsuits in the U.S. Court of International Trade (CIT) to seek an injunction to suspend liquidation or to secure a pathway to refunds, a strategy known as "parallel judicial action".
For liquidated entries (within 180 days):
File a timely protest: Importers must file a formal protest with CBP within 180 days of the liquidation date. Importers can request that CBP hold the protest in abeyance (paused) pending the Supreme Court's decision.
Monitor protest status
If the protest is denied, importers have 180 days from the date of denial to file suit in the CIT. Importers should work with a customs broker or trade attorney to monitor specific entry dates and implement a preservation strategy, as each entry has its own timeline.
Editor's Note: The above commentary was provided by customs broker Jorge A. Torres, president and CEO of Interlink Trade Services. The column appears in the RGG Business Journal with the approval of the author. It first appeared on Torres' LinkedIn page.
