'Trump admin will refund about half tariffs if...' Treasury secretary
What's the story
United States Treasury Secretary Scott Bessent has said that the country will issue "rebates" if President Donald Trump's imposition of "reciprocal tariffs" is struck down by the Supreme Court. Speaking on NBC News's "Meet the Press," Bessent said, "We would have to give a refund on about half the tariffs, which would be terrible for the Treasury... If the court says it, we'd have to do it."
Alternative options
Hassett cites Section 232 investigations as option
Bessent mentioned there are "numerous other avenues" for tariffs, but they would weaken Trump's negotiating position. Earlier, National Economic Council Director Kevin Hassett also said there were "other legal authorities" to impose tariffs if the Supreme Court ruled against Trump. He cited Section 232 investigations as an option. According to NBC, Section 232 of the Trade Expansion Act authorizes the president to impose tariffs "so that...imports will not so threaten to impair national security," following an inquiry into trade practices.
Legal disputes
Trump's tariffs have faced legal challenges
The US Court of Appeals for the Federal Circuit ruled last month that Trump exceeded his presidential authority when he imposed "reciprocal tariffs" on practically every country as part of his "liberation day" announcement. Trump's tariffs have faced legal challenges, with the US Court of Appeals for the Federal Circuit ruling that he overstepped his authority. The New York-based Court of International Trade had also ruled the tariffs unlawful in May.
Legal appeal
Trump urges Supreme Court for quick ruling
Trump has asked the Supreme Court to quickly reverse the lower court's decision. His government has requested that the Supreme Court hear arguments on his appeal in early November. He warned that delaying a ruling until June 2026 could result in up to $1 trillion in tariffs being collected. US businesses have already paid over $210 billion in these tariffs, which could be refunded if the Supreme Court upholds the appeals court's decision.
Sanction plans
Effects of tariffs
It could take the Supreme Court until early next summer to rule on the legality of Trump's tariffs. Bessent has stated that "delaying a ruling until June 2026 could result in a scenario in which $750 billion-$1 trillion in tariffs has already been collected, and unwinding them could cause significant disruption." According to Tax Foundation, Trump's tariffs were set to affect over 70% of US goods imports before court action. If the duties are overturned, they will affect around 16%.