Trump administration refunds $100bn in ‘Liberation Day’ tariffs after Supreme Court ruling

The Trump administration has returned about $100bn to businesses that paid the “Liberation Day” tariffs before the US Supreme Court ruled them illegal, according to a court filing by US Customs and Border Protection. The sum represents roughly 60% of the $165bn collected from the levies, customs officials told the US Court of International Trade on Tuesday, the Financial Times reported. The refunds follow a February Supreme Court decision that struck down broad import tariffs introduced under the International Emergency Economic Powers Act, a 1977 law the White House had cited as its authority.

The court found the duties unlawful, forcing the government to return money to companies that had paid them. Nearly $29bn in potential refunds is still under review by trade authorities, the filing showed. Amazon received about $600m in refunds during the second quarter, finance chief Brian Olsavsky said on an earnings call.

He added that the company would pass some of the money back to customers where specific charges were applied, and use the rest to support lower store prices. Under US customs law, only importers that directly paid tariffs can claim refunds, leaving any consumer relief at the discretion of individual businesses. A coalition of 25 US states sued the Trump administration this week to block a new round of tariffs on 60 trading partners, arguing the duties are a pretext for replacing the import taxes the Supreme Court struck down.

The lawsuit, filed in the same trade court, challenges levies of 10% to 12.5% imposed under Section 301 of the Trade Act of 1974 on grounds that affected countries have failed to tackle forced labour. New York attorney general Letitia James said the administration, after losing at the Supreme Court, was “once again trying to illegally raise taxes on families and businesses with a new round of tariffs.” The new tariffs replaced a temporary 10% universal duty that expired late last month.

The overall payout is expected to rise as Customs processes pending claims and firms update their information. Several major American corporations have already claimed large sums. The refunds land as the administration faces fresh legal challenges over its trade policy.

Trump has long pitched tariffs as a tool to revive domestic manufacturing, secure better trade deals and close the federal deficit.