Will Indian exporters to US get refunds on tariffs?
What's the story
The US Chamber of Commerce has welcomed the Supreme Court's move to strike down President Donald Trump's sweeping tariffs. The ruling, which was passed by a 6-3 vote, determined that the International Emergency Economic Powers Act (IEEPA) does not authorize such duties. Justices Clarence Thomas, Samuel A. Alito Jr, and Brett Kavanaugh dissented in the court's decision.
Reaction
'Welcome news for businesses, consumers'
Neil Bradley, Executive Vice President and Chief Policy Officer at the US Chamber of Commerce, called the Supreme Court's decision "welcome news" for businesses and consumers. He said that over the past year, they have been working with small and mid-sized businesses across America that have faced big cost increases and supply chain disruptions due to these tariffs.
Economic impact
'Swift refunds of the impermissible tariffs will be meaningful'
Bradley said, "Swift refunds of the impermissible tariffs will be meaningful for the more than 200,000 small business importers in this country and will help support stronger economic growth this year." The Chamber's FAQ on tariff refunds stated that US importers of record who directly paid the tariffs or consignees may be eligible for a refund. However, businesses that didn't directly pay these tariffs aren't eligible for any refunds.
Tariff details
Refunds only available for tariffs imposed under IEEPA
The Chamber clarified that refunds are only available for tariffs imposed under the IEEPA. This includes tariffs commonly referred to as "fentanyl," "trafficking," "reciprocal," or "baseline" tariffs, and some other levies on goods from Brazil and India. However, refunds aren't available for Section 232, Section 301, Section 201, anti-dumping and countervailing duties, or most-favored nation (MFN) tariffs.