Trump administration refunds $100bn in tariffs struck down by Supreme Court

The Trump administration has begun dispersing refunds totaling roughly $100 billion to US importers whose tariffs were invalidated by the Supreme Court in February. According to customs officials, the administration had initially collected approximately $166 billion in tariff revenues before the court's 6-3 decision overturned a significant portion of the tariff program.

In a court filing submitted to the US Court of International Trade, the US Customs and Border Protection agency revealed it had returned more than three-quarters of the $128.68 billion earmarked for potential and certified refunds. Brandon Lord, executive director of CBP's Trade Policy and Programs directorate, confirmed that refunds are being dispersed regularly through the Treasury Department's financial accounting system.

The Supreme Court determined that Trump had exceeded his constitutional authority by invoking the 1977 International Emergency Economic Powers Act to impose tariffs related to fentanyl on Canada, Mexico, and China, as well as broader reciprocal tariffs affecting more than 90 countries. However, the ruling preserved tariffs imposed under the 1962 Trade Expansion Act, leaving duties on steel, automobiles, and copper in place.

Following the Supreme Court's decision, the US Court of International Trade ordered in March that companies harmed by the invalidated tariffs receive refunds. Despite this setback, the Trump administration has continued introducing new tariff measures, including levies of 10-12.5 percent on imports from numerous countries last month, citing insufficient action against forced labour. A coalition of 25 US states has since challenged these latest tariffs in court, arguing they represent an attempt to circumvent the February ruling.