Nike faces a lawsuit from consumers over the failure to refund tariff costs
Consumers on Friday filed a lawsuit against Nike, alleging that the athletic apparel and footwear manufacturer failed to refund tariff-related costs that were transferred to them through increased prices.
In a proposed class action, consumers argued that Nike should not retain “significant” refunds anticipated following the February ruling by the U.S. Supreme Court to overturn extensive tariffs imposed by President Donald Trump under the International Emergency Economic Powers Act.
The company located in Beaverton, Oregon, has stated that it incurred approximately $1 billion in tariffs on imported goods due to actions taken by Trump. Consumers reported that Nike increased prices on certain footwear by $5 to $10 and on some apparel by $2 to $10 to manage costs.
“Nike has not made any legally binding commitment to return tariff-related overcharges to the consumers who actually paid them,” the complaint stated. “Unless restrained by this court, Nike stands to recover the same tariff payments twice — once from consumers through higher prices and again from the federal government through tariff refunds.”
Nike has not yet provided a response to requests for comment.
A range of companies, including Costco and EssilorLuxottica, the maker of Ray-Ban sunglasses, are facing lawsuits from consumers for allegedly not passing on tariff refunds to them.
The federal court in Portland, Oregon, received a lawsuit against Nike.
During a conference call on March 31, Nike indicated that its fiscal quarter ending in August 2026 is expected to be the last quarter in which tariffs significantly impact year-over-year gross margin. Nike faces a lawsuit from consumers over the failure to refund tariff costs
