US Begins Massive Refunds After Trump Tariffs Struck Down

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More than two months after the Supreme Court of the United States struck down sweeping tariffs imposed by Donald Trump, the massive refund process is finally taking shape.
According to a recent filing in the United States Court of International Trade, repayments are expected to begin around May 11. The scale of the operation is unprecedented, with billions of dollars set to be returned to importers.

Judge Richard Eaton, who is overseeing the process, revealed that about 21% of import entries affected by the tariffs have already been approved for duty removal under a new system called CAPE (Consolidated Administration and Processing of Entries). Of these, nearly 3% have completed liquidation and entered the active refund stage, where payments are processed by the United States Department of the Treasury.

As of April 26, around 1.74 million entries had moved into the repayment pipeline. Overall, the refund exercise could cover nearly $166 billion in duties collected from over 330,000 importers across approximately 53 million entries—making it one of the largest financial reversals in US trade history.

The landmark February 20 ruling came in a 6–3 decision, with the court finding that Trump had exceeded his authority under the International Emergency Economic Powers Act. The law, traditionally used for sanctions and asset freezes, was deemed insufficient to justify broad tariff impositions. The court emphasized that the power to levy tariffs lies with Congress, not the executive branch.

The case was brought forward by multiple businesses and 12 US states, including challenges from small importers and family-run companies. Trump criticized the verdict, calling it “totally defective,” and quickly responded by introducing a new 10% global tariff through a different legal route, signaling his continued push for aggressive trade policies.

Meanwhile, Treasury Secretary Scott Bessent indicated that the administration is exploring alternative legal frameworks to sustain tariff measures going forward.

These tariffs had been a key pillar of Trump’s economic agenda since the start of his second term. On April 2, labeled “Liberation Day,” the administration had announced sweeping reciprocal tariffs on major trading partners, citing trade deficits as a national security concern. Earlier in 2025, similar measures targeted countries like China, Canada, and Mexico under emergency provisions linked to issues such as fentanyl trafficking.

With refunds now underway, the focus shifts to how quickly the government can process payments—and what new trade strategies may emerge in the aftermath of this historic ruling.


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