Tariff refunds reach consumers through shippers after court ruling
Shippers are passing tariff refunds to consumers after the Supreme Court struck down 2025 import duties, with billions flowing back.
Consumers who bought goods from overseas vendors last year may find unexpected credits in their accounts. Shipping companies that acted as customs brokers for imported packages are now forwarding tariff refunds they received from the U.S. government to the customers who originally paid those duties.
The process follows a Supreme Court decision in February that struck down sweeping tariffs imposed in March 2025 under the International Emergency Economic Powers Act. The court ordered the government to return the collected duties, and roughly $100 billion has been refunded to companies so far through a system managed by U.S. Customs and Border Protection.
FedEx has begun distributing $800 million in refunds it received, with customers able to check tracking numbers on a company portal to see if they qualify. UPS applied for $500 million in the first phase of its refund process and expects customers to receive payments one to three months after the Treasury reimburses the company. DHL has filed claims for nearly all eligible shipments where it served as importer of record and is returning refunds as they arrive.
Most consumers will not see full reimbursement because the majority of tariff costs were passed on indirectly through higher prices. The Tax Foundation estimates the 2025 tariffs added an average of $1,000 per U.S. household. Large retailers that absorbed costs or adjusted product lines are unlikely to issue direct refunds.
Amazon received $600 million in tariff refunds in the second quarter. The company said it will automatically refund customers in limited cases where it can trace specific import charges, and will otherwise use the money to lower prices. Best Buy and Costco have indicated they will return funds to customers in some form.
More than 80 class-action lawsuits have been filed against retailers including Costco, Nike, Amazon, and Walmart, seeking refunds for tariff-related price increases. Legal experts note these cases face significant hurdles, as plaintiffs must prove price hikes were specifically caused by tariffs rather than other market factors, and no cases have yet been certified as class actions.