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Costco is suing Trump to get tariff refunds

Turns out you can’t throw tariffs around like confetti and not expect chaos.

  • Is your Amazon growth stuck? 🤔
  • Trump-era tariffs about to be overturned 💥
  • Amazon closure halts your shipments ⚠️
  • Prevent disputes before they hit 💰

HOT TOPIC

Have you heard? Costco is suing the U.S. government over tariffs imposed under Trump’s “emergency powers.” Yep, even billion-dollar giants don’t trust today’s tariffs. 

If the Supreme Court overturns them, billions could be refunded, and Costco wants first dibs.

🔥 Why Costco is going to court

Customs denying an extension on tariff calculations pushed Costco into litigation, a risk any importer could face.

  • Legal precedent: Supreme Court ruling on Trump’s tariff powers could reshape refund eligibility for everyone. 
  • Big-company panic: Bumble Bee, EssilorLuxottica, Kawasaki, Revlon, Yokohama suing too, showing major importers are nervous.

🏛️ The Supreme Court angle

During November 5 oral arguments, justices questioned whether Trump legally used a 1977 emergency-powers law to impose tariffs.

  • Refunds at stake: A ruling against Trump could mean huge repayments for importers.
  • File correctly: Costco’s suit exists because refunds aren’t automatic.
  • Supply-chain impact: A broad ruling could affect tariff strategies and sourcing for years.

🚨 This is YOUR signal

If giants worry about tariff refunds, smaller sellers should tighten documentation, check import records, and manage suppliers carefully. 

The Supreme Court ruling could reshape import strategies and margins for years.

TOGETHER WITH SELLER INTERACTIVE

What’s really holding your Amazon growth back?

You’ve optimized listings. You’re running PPC. You’ve read all the blogs. So… why isn’t it translating into real growth?

That’s where Seller Interactive comes in.

We’re not here to sell you a magic hack. We’re here to show you exactly what your current strategy is missing.

From underperforming keywords to untapped ad opportunities, our team of Amazon experts will walk you through what’s actually going on inside your account—and where your next wins are hiding.

Our full-service team manages over $2M in monthly ad spend across categories like health & wellness, home & kitchen, supplements, and more. And we don’t just launch ideas—we back them with data, test them, and scale what works.

Think of us as the partner who brings clarity and execution to your Amazon strategy.

Book a free Discovery Call

BITES OF THE WEEK

Amazon closed this warehouse and stock is stuck

If your inventory is chilling in Amazon’s LIT1 fulfillment center in Little Rock, Arkansas, you might want to grab a coffee… and maybe panic a little. 😬

Amazon suddenly closed the warehouse after engineers found structural design errors, and there’s no reopening date yet.

⚙️ What happens to your inventory

Good news, bad news, and workarounds:

  • Frozen stock: Units in LIT1 won’t move until repairs and inspections are done.
  • Inbound shipments rerouted: Anything on the way automatically goes to another fulfillment center.
  • Listings stay live: If you have stock elsewhere, your products keep selling.
  • Temporary limit bumps: Amazon increased your capacity and ASIN limits to offset the disruption.

🌬️ Softening the blow

Amazon knows this hits your Q4 revenue, so they’re padding the impact:

  • Fee forgiveness: Storage and aged-inventory fees tied to LIT1 are refunded within a month.
  • IPI protection: Your IPI and limits won’t take a hit.
  • Performance safeguards: Delays at LIT1 won’t count against your account.

📍 Keep tabs on your units

Amazon gives you the tools to see exactly what’s affected:

  • Inventory Ledger report: See which SKUs are stuck at LIT1.
  • Restock Inventory report: Rebalance your stock across other FCs.
  • FBA Dashboard: Check your updated limits and IPI protections.

One warehouse glitch shouldn’t wreck Q4, and Amazon can help soften the impact. Lesson: spread inventory across multiple fulfillment centers to avoid bottlenecks.

Chargeback prevention made simple

Even when you do everything right, buyers can still hit their bank instead of you, and just like that, revenue is at risk. 

The good news? Chargebacks are preventable when you control the customer experience from click to delivery. 

🧯 The chargeback killer toolkit

Want fewer disputes and more profit? Focus on these best practices:

  • Set true expectations: Clear descriptions and accurate images mean buyers know exactly what they’re getting.
    • Tip: Be honest about shipping times, don’t overpromise.
  • Track everything: Keep records of shipping dates, methods, and tracking. Signature confirmation for high-value orders is a lifesaver. 📈
  • Stay reachable: Many chargebacks happen because buyers can’t get a response. Quick replies save money.
  • Fix root causes. If you spot repeated dispute themes, remove friction. Improve returns, tweak messaging, or clarify policies.
  • Confirm shipments in Seller Central: A clean record protects you.

The more trust you build upfront, the fewer disputes you face later, meaning fewer fees, fewer A-to-Z claims, and cleaner account health.

Author : SellerBites
Faith began working on SellerBites in 2021, a weekly newsletter that provides sellers with the latest news and updates in FBA. With first-hand experience in managing various seller and vendor accounts, she understands what sellers face on this platform. Her background led to the conception of SellerBites, which main goal is to help people become better, more informed entrepreneurs in the Amazon marketplace.
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