The US customs agency is preparing a system to process refunds on billions of dollars of illegally collected tariffs within 45 days, following a court order. A top official estimated the total sum held in relation to these tariffs at approximately $166bn, affecting some 330,000 importers.
Judge Richard Eaton of the US Court of International Trade ordered Customs and Border Protection (CBP) to start repaying importers with interest, using its existing systems. The ruling applies to all affected importers, not just those who had taken legal action. The Supreme Court had previously struck down the tariffs imposed under the International Emergency Economic Powers Act.
Brandon Lord, a CBP official, stated in a court filing that more than 330,000 importers made over 53 million entries where duties were paid under the disputed law. He said the new refund process would require minimal submissions from importers. The court is expected to hold a closed settlement conference to finalise the procedure.
The order came in a case brought by manufacturer Atmus Filtration, which paid around $11m in illegal tariffs. Their case may serve as a model for refunding up to 2,000 other lawsuits. Judge Eaton noted that CBP routinely issues refunds when importers overpay, saying: 'They do it every day. They liquidate entries and make refunds.'
Separately, Democratic attorneys general from 24 US states have sued President Trump over his more recent tariff round, arguing he lacks authority and demanding refunds for increased costs.
