U.S. Customs Agency says It Cannot Comply with Tariff Refund Order

The US Customs and Border Protection (CBP) agency has told the US Court of International Trade (CIT) that it cannot comply with a court order compelling it to refund the $166 billion in Trump tariffs that the Supreme Court ruled illegal, Reuters reported.

CBP has collected about $166 billion in tariffs from more than 330,000 importers under the emergency tariff program. (Photo: Jonathan Curter Flickr) 

Meanwhile, Song Sang-ho reported for South Korea’s Yonhap News Agency that CBP is working on a new system to simplify the tariff refund process that could be ready in 45 days, as many companies seek refunds for the Trump administration’s emergency duties that were struck down by the court.

Brandon Lord, executive director of CBP’s trade policy and programs directorate, outlined plans for a streamlined process requiring “minimal submission” from importers in a filing with the CIT, according to the Associated Press.

CBP has collected about $166 billion in tariffs from more than 330,000 importers under the emergency tariff program.

On Feb. 20, the Supreme Court ruled against US President Donald Trump’s use of the 1977 International Emergency Economic Powers Act (IEEPA) to justify country-specific “reciprocal” tariffs and other levies.

The ruling did not outline a specific refund process.

In the filing, Lord estimated that refunds would take more than 4.4 million man-hours to complete under the current system, highlighting the difficulty of carrying out the order.

Businesses complained that the administration was quick to collect tariffs but slow to refund them after the Supreme Court decision.