US refunds about $100bn in tariffs after Supreme Court strike-down

The United States has refunded about $100bn in tariffs after the Supreme Court ruled that Donald Trump exceeded his authority when he used emergency powers to impose many of the levies. Customs officials said the repayments have been made since the court's February decision, which struck down a large part of the tariff regime. The filing was made in the US Court of International Trade and gives the clearest official picture yet of the scale of the refunds.

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According to US Customs and Border Protection, more than three-quarters of $128.68bn in tariff revenues identified as potential and certified refunds have now been returned. Brandon Lord, executive director of the agency's Trade Policy and Programs directorate, said in the filing that the financial accounting system receives updates from the Treasury showing the certified refunds are being regularly dispersed. The agency said the refunds follow the Supreme Court's 6-3 ruling in February.

The court found that Trump had exceeded his authority under the 1977 International Emergency Economic Powers Act when he imposed fentanyl-related tariffs on Canada, Mexico and China, as well as broader reciprocal tariffs on more than 90 countries. The ruling did not affect tariffs imposed on specific industries under the 1962 Trade Expansion Act, leaving duties in place on goods including steel, automobiles and copper. In March, the US Court of International Trade ruled that companies affected by the invalidated tariffs should be refunded.

The repayment process has major fiscal and trade-policy implications because the tariffs were a central part of Trump's approach to trade with dozens of partners. The administration had collected about $166bn from US importers before the Supreme Court struck down much of the regime. The refunds also underline the legal limits placed on emergency powers in trade policy, at a time when the administration has continued to announce new import levies.

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The Supreme Court decision prompted a sharp reaction from Trump, who criticised the justices who sided against him. Since then, the administration has moved ahead with other tariff measures, including new levies announced last month on imports from dozens of countries that officials said had not done enough to combat forced labour. A group of 25 US states, including New York, California, Arizona and Colorado, also filed a legal challenge on Monday to those latest tariffs.

What remains unclear is how much of the refund process is still outstanding and whether further legal challenges will affect the administration's wider tariff strategy. The latest filing suggests the repayments are continuing, but it does not set out a final timetable for completion. The next developments to watch are any further court rulings on the newer tariffs and whether the administration adjusts its trade approach in response to the February decision.

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