Nintendo Sues US Government for Tariff Refunds After Supreme Court Ruling

Quick Facts

• Nintendo filed lawsuit Friday seeking refunds on tariffs ruled unconstitutional by Supreme Court on February 20
• Switch 2 console preorders were delayed due to tariff uncertainty, though pricing remains at $449.99
• About 2,000 companies including FedEx, Costco, and L’Oreal have filed similar lawsuits for estimated $175 billion in refunds

Nintendo of America sued the federal government Friday, seeking refunds on tariffs that were later ruled unconstitutional. The video game company joins approximately 2,000 other businesses demanding their money back after a landmark Supreme Court decision.

The lawsuit stems from the Supreme Court’s February 20 ruling that President Trump lacked authority to impose tariffs under the 1977 International Emergency Economic Powers Act. Chief Justice John Roberts wrote the majority opinion, joined by five other justices, declaring the tariffs illegal.

Nintendo’s case highlights the business disruption caused by the trade policies. The company delayed preorders for its highly anticipated Switch 2 console, originally scheduled to begin April 9, 2025. Despite the uncertainty, Nintendo maintained its announced pricing of $449.99 for the console and $499.99 for the Mario Kart World bundle.

“Pre-orders for Nintendo Switch 2 in the U.S. will not start April 9, 2025 in order to assess the potential impact of tariffs and evolving market conditions,” a Nintendo representative told CNBC. The company manufactures its consoles and accessories overseas, primarily in Vietnam and China.

Trade experts estimate the U.S. government could owe as much as $175 billion to businesses that paid the invalidated tariffs. U.S. Customs and Border Protection data shows the federal government collected $134 billion in duties under the act through the end of 2025.

Small businesses bore a significant burden, paying about $55 billion of the total tariffs collected, according to University of Pennsylvania researchers. The Tax Foundation estimated Trump’s tariffs cost the average U.S. household $1,000 in 2025, with projections rising to $1,300 per household in 2026.

Judge Richard Eaton of the U.S. Court of International Trade ruled Wednesday that companies were legally entitled to refunds. “All importers of record whose entries were subject to IEEPA duties are entitled to the benefit,” Eaton wrote in his order.

Major corporations including Bausch & Lomb, Dyson, FedEx and L’Oreal have filed similar lawsuits. “This is a victory for small businesses who have paid billions in unlawful tariffs and deserve their money back,” said Dan Anthony, executive director of We Pay the Tariffs.

Nintendo provided minimal comment on its filing. “We can confirm that we filed a request. We have nothing else to share on this topic,” the company stated.

Read more: Nintendo sues the US government for a refund on tariffs