The Trump administration inflated the value of its tariff refunds by upwards of $10 billion, according to a new report.
A Tuesday court filing from U.S. Customs and Border Protection showed about $20.6 billion in refunds are en route to importers who submitted claims through a new agency portal, Bloomberg reported. The disbursements mark the first major wave of repayments following the Supreme Court’s landmark ruling that struck down President Donald Trump’s tariff authority, dealing a major blow to his cornerstone economic policy.
Misreported refund figures
The filing, submitted to the U.S. Court of International Trade, also disclosed that the administration had previously misreported the scale of those refunds to the federal judge overseeing the process.
Earlier this month, a U.S. trade official said more than $35.5 billion in refunds were being issued. That estimate “was overstated by approximately $10 billion,” with the correct figure closer to $25 billion, according to Brandon Lord, head of trade programs at CBP’s Office of Trade, The Daily Beast reported, citing Bloomberg.
Importers filed claims through CBP’s newly launched Consolidated Administration and Processing of Entries (CAPE) system, which delivers payouts through ACH.
Error blamed on data query
“This was not a reflection of any error in CAPE processing or refunds, but rather was the result of an inadvertent error in the data query used to calculate the figure,” Lord said.
Refunds could eventually total as much as $85 billion, including interest on duties. Still, only importers qualify, leaving American consumers without the chance to earn relief.
The Independent has reached out to CBP for comment.
Background on tariff refunds
The refund process got underway in February, when the Supreme Court ruled in a 6-3 decision that the president’s global tariffs were imposed unlawfully under the 1977 International Emergency Economic Powers Act.
“The president asserts the extraordinary power to unilaterally impose tariffs of unlimited amount, duration, and scope. In light of the breadth, history, and constitutional context of that asserted authority, he must identify clear congressional authorization to exercise it,” Chief Justice John Roberts wrote.
The decision opened the door to billions of dollars in compensation for companies that have paid steep duties since the “Liberation Day” levies were first rolled out in April 2025.
Trump's reaction
Trump quickly called the ruling “incorrect” and said he was “ashamed” of the justices who sided against him, several of whom he appointed during his first term.
“It really p***** me off,” Trump told Fortune earlier this month, referring to the high court’s ruling. “Can you imagine… to people who hate us, to countries that ripped us off for years, I’ve got to give them back $149 billion,” he said.
Economists, however, have said most of the tariffs were actually paid by American companies and consumers.
A January report from the Kiel Institute for the World Economy found that U.S. consumers paid for “nearly all” of the tariffs. A February analysis from the Tax Foundation estimated the levies would cost the average household about $1,300 this year.
At the same time, research from the Federal Reserve indicates that Trump’s tariffs have helped keep inflation elevated.
