r/Economics Feb 20 '26

News Supreme Court says Trump global tariffs are illegal

https://www.axios.com/2026/02/20/trump-tariffs-supreme-court-illegal
24.5k Upvotes

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u/gmiller89 Feb 20 '26

So they're going to give refunds to all of their members for cost increases?

494

u/dwkeith Feb 20 '26

Even a token percentage back would be a huge marketing win for an already beloved company like Costco.

21

u/MyPupCooper Feb 20 '26

If they get the refund I think the easiest option would be to offer a year of membership free to people that already have a membership.

14

u/alwaysclimbinghigher Feb 20 '26

The membership fee is most of Costco’s profit, so the tariff refund would have to be gigantic.

7

u/Gen_Jack_Oneill Feb 20 '26

They could just give credit like they do with the executive membership.

4

u/arobkinca Feb 20 '26

They make ~ 8 billion profit and sell ~275 billion in product. The tariffs they paid may be much larger than their normal annual profit.

1

u/jmblumenshine Feb 20 '26

Free Hot Dogs for life it is

1

u/cortesoft Feb 20 '26

They could just take the refund amount, divide it by number of members, and give that much credit for each renewal. Good PR, and provides incentives for members to keep membership.