The legal landscape for IEEPA duty refunds just got a bit clearer—and a lot more urgent for importers. Following a closed hearing, Judge Eaton of the Court of International Trade (CIT) issued a new order in the Atmus Filtration case that carries significant implications for those seeking to recover duties.
Here are the three essential takeaways from the Court’s latest move:
1. Expanded Refund Scope (India & Brazil)
In a win for importers, the Court amended its March 5th Order to broaden the definition of refundable duties. The refund process now explicitly includes the additional duties imposed on goods from Brazil (40%) and India (25%) under separate IEEPA Executive Orders. This confirms that the path to recovery isn’t just limited to the initial scope but covers these significant additional levies as well.
2. The “Liquidation” Warning
The most critical point of friction remains the “finality” of liquidation. Because there is no consensus on how to handle entries that have already liquidated, the Court issued a pointed reminder regarding 19 U.S.C. § 1514.
3. More Waiting on the “CAPE” Process
While U.S. Customs and Border Protection (CBP) confirmed they are still refining the CAPE process within the ACE system, the original order for automatic refunds remains stayed. We expect more clarity soon, as CBP is required to provide a status update on March 31st, followed by another closed hearing.
The Bottom Line
If your entries have liquidated and you are approaching the 180-day protest deadline, do not wait for an automatic fix. The Court is signaling that filing a formal protest—and requesting a suspension of that protest until the refund process is finalized—is the safest way to preserve your rights.
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