The United States administration of President Donald Trump has refunded approximately $100 billion in tariffs after the country’s Supreme Court ruled that he exceeded his authority by using emergency powers to levy duties on dozens of trade partners, official customs filings have revealed.
The returned revenue represents more than three-quarters of the $128.68 billion in duties earmarked as “potential and certified refunds” following the apex court’s 6-3 landmark ruling in February, reports Al Jazeera.
Prior to the court striking down a large portion of the president’s tariff regime, the administration had collected about $166 billion from US importers.
In a Tuesday court filing with the US Court of International Trade, Brandon Lord, executive director of the US Customs and Border Protection (CBP) Trade Policy and Programs directorate, confirmed that the funds are being actively returned.
“CBP’s financial accounting system receives updates from Treasury that indicate these CBP certified refunds are being regularly dispersed,” Lord stated in the filing.
Emergency powers struck down
The judicial setback stems from the Supreme Court’s February ruling, which found that President Trump had exceeded his executive authority when he invoked the 1977 International Emergency Economic Powers Act (IEEPA).
The administration had relied on the emergency act to penalise trade partners, imposing fentanyl-related tariffs on Canada, Mexico and China, alongside broader “reciprocal” tariffs on more than 90 nations.
Trump reacted with fury at the time, branding the six justices who voted against him as “fools” and “lapdogs” for the Democratic Party.
However, the Supreme Court’s decision did not nullify industrial tariffs invoked under the 1962 Trade Expansion Act. This left duties on specific goods, including steel, automobiles and copper, fully intact.
Following the high court’s ruling, the US Court of International Trade ordered in March that all companies affected by the invalidated tariffs must be refunded.
Fresh trade friction
Despite the legal defeat and the multi-billion-dollar payout, the Trump administration has refused to abandon its aggressive trade policies.
Last month, Washington announced fresh levies ranging from 10 to 12.5 per cent on imports from dozens of countries. US officials justified the new duties by claiming the targeted nations have failed to take sufficient action to combat forced labour.
This move has triggered a fresh wave of domestic litigation. On Monday, a coalition of 25 US states, including New York, California, Arizona and Colorado, mounted a legal challenge against the new tariffs.
The states have branded the administration’s measures a mere “pretext” designed to circumvent the February ruling and re-impose the sweeping duties that were struck down by the Supreme Court.
