Businesses Can Wait Forever for Tariff Refunds: Bessent

The Supreme Court’s decision ruled that the Oval Office’s use of the International Emergency Economic Powers Act (IEEPA) to levy duties on trading partners was illegal.

Bessent said the Supreme Court had not determined how the funds collected under IEEPA should be handled, meaning the matter will now move to international trade courts. (Photo: Molly Riley, The White House Flickr) 

A total of $175 billion is now tied up in litigation over refunds, but Treasury Secretary Scott Bessent admitted the funds are unlikely to ever reach consumers, Eleanor Pringle reported for Fortune.

IEEPA tariffs were initially imposed on China in February 2025 and extended a month later to Canada and Mexico. April’s “Liberation Day” tariffs were also implemented under IEEPA authority.

Some optimists suggested the refunds could act as an economic stimulus, since US importers would receive the cash. Consumers might even benefit if companies pass on the savings.

Speaking at the Economic Club of Dallas after the ruling, Bessent said the Supreme Court had not determined how the funds collected under IEEPA should be handled, meaning the matter will now move to international trade courts.

“My sense is that could be dragged out for weeks, months, years — so we’ll see what happens there,” Bessent said.

He added that using alternative authorities such as Section 232 (national security) or Section 301 (unfair trade practices) means tariff revenue generation will not decline. But regarding IEEPA revenues, he noted: “I’ve got a feeling the American people won’t see it.”