Coalition of 800 Businesses Calls for "Full, Prompt, and Automatic" Refunds
WASHINGTON, D.C. — A coalition of 800 small businesses across the United States has officially called on the federal government for "full, prompt, and automatic" refunds of emergency tariffs, following the U.S. Supreme Court's 6-3 ruling rejecting President Donald Trump's use of the International Emergency Economic Powers Act (IEEPA) to impose duties during the "Liberation Day" period.
However, the Supreme Court's ruling did not specifically address the mechanism for refunding importers who had paid the tariffs, leaving a significant question mark over how this will be implemented.
Estimated Total Losses Reach $200 Million
The advocacy coalition "We Pay the Tariffs" welcomed the ruling but stated that it would lack practical meaning without a clear refund mechanism for businesses that paid the duties. Small businesses estimate the total amount of tariffs paid to be up to $200 million.
In a letter to the President and Congress, the group wrote: "Small businesses cannot afford to hire lawyers, navigate complex procedures, or spend months filing paperwork to recover money that should never have been collected."
Importer: "I Lent the Government $400,000 Interest-Free"
Andrea Englisis, president of the wine import company Athenee Importers & Distributors LTD in Long Island, stated that she has paid approximately $400,000 in tariffs since the duties took effect last year.
"I feel like I've lent the government $400,000 interest-free for an entire year," she said, expressing skepticism that the refunds would be straightforward.
Due to increased costs, her company was forced to halt imports of high-end wines from Santorini, Greece, as their selling price in New York became prohibitively expensive. She also postponed plans to hire new staff.
President Trump: Issue Could Face 2-5 More Years of Litigation
President Trump stated at the White House that the Supreme Court's ruling did not clarify how collected tariffs should be refunded. He suggested that the issue could continue to face litigation for another 2 to 5 years, while criticizing the justices who voted against him.
Consumer Refund Question Remains Unanswered
Currently, there is no specific mechanism for refunding consumers who purchased tariffed goods at higher prices. Some importers stated that if they receive tariff refunds, they can only pass them on as discounts to distributors, making it difficult to directly reimburse end-consumers.
The Supreme Court's ruling marks a significant legal turning point, yet questions regarding the refund mechanism and implementation timeline remain open, posing a considerable challenge for both the government and hundreds of thousands of small businesses nationwide.
