Importers are finally moving toward reclaiming $166 billion in tariffs that the Supreme Court struck down in February, as a new digital system from U.S. Customs and Border Protection (CBP) went live this week. Companies are now filing formal requests for their share of the duties, though the Trump administration cautions that actual payments could take weeks.
The portal, an add-on to CBP's existing ACE system, launched Monday after weeks of development. It allows roughly 330,000 importers to submit CAPE Declarations to initiate refunds. Adam Hanover, managing director at CohnReznick, recalled the rocky rollout of ObamaCare and expressed cautious optimism: “I have memories of when the ObamaCare system went up and running and the whole thing crashed. So is this good?”
Early users report relatively smooth operations. Eric Parnes, a trade attorney at Blank Rome, said his first client’s experience was “smoothly” handled, though he acknowledged that remains an open question as more importers rush to file. Rick Woldenberg, CEO of Learning Resources—the company at the center of the Supreme Court case—said his firm submitted over $10 million in refund requests Monday with “pretty smooth sailing.”
Still, some importers have encountered glitches accessing accounts or uploading documents. CBP has published guides and warns that nonconforming submissions will be rejected. The agency notes that refund requests could take 60 to 90 days if they require extra review.
Eligibility hinges on timing. Goods that were “liquidated” more than 80 days ago must follow a different process, and entries with complicating factors like anti-dumping duties require manual handling. As of last week, over 56,000 importers—representing $127 billion of the total—had signed up for electronic refunds, according to CBP. The agency is due to update the U.S. Court of International Trade by Tuesday.
President Trump, in a CNBC appearance, suggested companies should let the government keep the illegal duties. “I think it’s brilliant if they don’t do that,” he said. “If they don’t do that, I’ll remember them.” The administration has insisted it will not obstruct refunds and is moving as fast as possible, despite the Supreme Court providing no guidance on implementation.
Hanover noted he expected the administration to argue that geopolitical issues should delay refunds. “I haven’t seen it, and I was expecting it,” he said. “The administration would say, ‘We have some major geopolitical issues erupting now, and this just is not the time.’”
For more on the political fallout, see Trump Warns Companies Against Claiming $166 Billion in Court-Ordered Tariff Refunds and Trump Escalates Attack on Conservative Justices, Decries Tariff Ruling as 'Travesty'.
