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Gellert Cites $40 Million Estimated Annual Tariff Cost in Lawsuit

The filing reports at least $520,538 in duties across 22 customs entries as the importer seeks refunds and says the tariffs are disrupting a cross-border cheese supply chain.

Updated 2 min read
Pedestrians pass the U.S. Court of International Trade in lower Manhattan, New York. / EconoTimes.ai
Pedestrians pass the U.S. Court of International Trade in lower Manhattan, New York. / EconoTimes.ai

Gellert Global Group Corp. estimates that U.S. tariffs on its Canadian cheese imports could cost $40 million a year, as it asks a U.S. trade court to halt collection and refund duties.

In a complaint filed Oct. 20 in the U.S. Court of International Trade, the importer said it paid at least $520,538 in duties on 22 customs entries between Sept. 16 and Oct. 11. The complaint says Gellert imported roughly $71 million worth of Canadian cheese in 2025. Its $40 million estimate reflects the current 50% tariff.

Gellert says it is covering the charge itself through the end of 2026, constraining working capital and leading it to delay hiring and investment. The complaint traces the product through a cross-border chain: an Ontario supplier buys milk from New York dairies, makes brie and sells it to Gellert for import into the United States. The company says it may raise prices if the tariffs remain in place, passing some of the cost to customers.

The dispute centers on Section 338 of the Tariff Act of 1930. Gellert argues that the law does not authorize the duties on its cheese. The complaint says the tariffs are tied to measures involving Canadian alcohol and motor vehicle policies, while a separate provision concerning dairy does not cover cheese.

The White House has framed the tariffs as a response to Canadian policies it says disadvantage U.S. producers. Canada said its countermeasures on U.S. goods took effect Sept. 8, according to EconoTimes' earlier coverage of the dispute.

Gellert wants the court to stop further collection and order repayment with interest for the company and a proposed class of affected importers. The requested relief would return duties already paid while barring additional collections during the case.

The Liberty Justice Center says it sought a preliminary injunction and summary judgment alongside the Oct. 20 complaint; its case page gives no hearing date.

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