Billions of dollars raised under president Donald Trumpof global tariff It may or may not be returned after the U.S. Supreme Court strikes down the tariffs, but there’s no explanation of how refunds will be handled. Government officials said lower courts will decide whether importers are compensated and how the money will be repaid.
More than $130 billion collected under tariffs could be at risk. These tariffs, imposed under the International Emergency Economic Powers Act (IEEPA), were ruled illegal, but the decision did not address the logistics of repayment.
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Court decides on refund procedure
United States Trade Representative Jamison Greer It said the government would follow judicial guidance. “So this is a matter for the courts,” he said on Fox News Sunday. “They created this situation and we’re going to do what they say.”
Finance Minister Scott Bessant maintained that stance, telling CNN the government would await instructions and a decision on refunds could take “weeks or months.”
Businesses and consumers can feel the impact
Major importers, including Costco, filed lawsuits ahead of the ruling to preserve potential refund claims. A study by the New York Fed found that U.S. consumers and businesses paid about 90% of tariffs, contradicting claims that foreign exporters bear much of the burden.
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In earlier lawsuits, Justice Department lawyers acknowledged that refunds would be issued if the tariffs were found to be unlawful. The assurances are also used against suspension of duties while the case is pending.
Legal and logistical hurdles ahead
Joyce Adetutu, a trade attorney at Vinson & Elkins, told The Associated Press that the government could make reimbursement difficult, potentially forcing importers to seek relief through further court proceedings.
Justice Brett Kavanaugh, one of three dissenters, warned that the refund process could become “messy” and noted that the ruling did not explain how the government should return the money.
U.S. Customs and Border Protection has procedures in place for refunds under certain circumstances. However, the scale and complexity of tariff collections could complicate any repayment efforts.
For now, companies and consumers must wait for lower courts to decide whether to issue refunds and how they will be distributed.
