Consumers Sue Nike Over Tariff Costs and Refunds

Consumers sued Nike on Friday accusing the athletic apparel and footwear maker of not refunding tariff-related costs that it passed on through higher prices. In a proposed class action filed in Portland, Oregon federal court, consumers said the company should not be allowed to keep significant refunds it can expect after a court struck down the tariffs in February.

The Beaverton, Oregon-based company has said it paid about $1 billion in tariffs on imported goods. Consumers said Nike raised prices on some footwear by $5 to $10 and on some apparel by $2 to $10 to offset the costs. The complaint stated that the company has made no legally binding commitment to return the tariff-related overcharges to the consumers who paid them.

“Nike has made no legally binding commitment to return tariff-related overcharges to the consumers who actually paid them. 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 did not immediately respond to requests for comment. The company joins others including Costco and EssilorLuxottica, the maker of Ray-Ban sunglasses, that have faced similar lawsuits from consumers alleging failure to pass on tariff refunds.

The company has said its fiscal quarter ending in August 2026 would likely be the final quarter when tariffs remain a material year-over-year headwind to gross margin. That statement came during a March 31 conference call. The lawsuit centers on allegations that the company offset tariff payments by increasing prices paid by customers but has not committed to returning any subsequent refunds received from the government.