United States acknowledges $10 billion error in Trump tariff refunds

The U.S. Customs and Border Protection (CBP) agency has begun returning roughly $20.6 billion to importers after a Supreme Court ruling struck down portions of tariffs imposed under the Trump administration. An initial report had overstated the total refunds at more than $35.5 billion; officials later clarified that the figure should be closer to $25 billion due to a data‑processing error.

In May, CBP’s cash withdrawals rose sharply, with about $14 billion disbursed – a jump from the $3 billion withdrawn in April – bringing total withdrawals to around $17 billion. The accelerated payouts could eventually exceed the $22.1 billion in tariff revenues collected in April. The refunds are directed at affected companies, not directly to U.S. consumers. Dominican exporters, among other foreign firms, may also seek reimbursements if their claims are approved.

The refunds stem from the Supreme Court’s February decision that tariffs levied under the International Emergency Economic Powers Act were illegal. While the administration has criticized the ruling, analysts note that the tariffs primarily burdened U.S. businesses and contributed to higher inflation.