The federal government has begun a process to refund an estimated 166 billion dollars in import tariffs collected under former President Donald Trump, following a Supreme Court ruling that found the executive branch lacked authority to impose the taxes. The decision determined that only Congress has the power to levy tariffs, prompting lower courts to require the government to return the funds to businesses that paid them.

United States Customs and Border Protection has launched a new claims system allowing importers to apply for reimbursements. More than 330,000 importers paid duties on over 53 million shipments, and approved refunds are expected to be distributed within 60 to 90 days, though complex cases may take longer. Officials have acknowledged that the system was not designed to handle such a high volume of claims, meaning some requests may require manual review.

While the repayments could mark one of the largest reimbursements to importers in American history, only businesses that directly paid the tariffs are eligible. Consumers who faced higher prices as companies passed along the added costs will not receive compensation, drawing criticism from some who argue the public effectively bore the financial burden.

The refund rollout comes amid renewed geopolitical tensions in the Middle East that have driven oil price volatility, adding to broader concerns about inflation and the cost of everyday goods.