WASHINGTON: A US Customs and Border Protection (CBP) official confirmed to a federal court that the agency is developing a new system to process tariff refunds. Judge Richard Eaton has granted the agency 45 days to implement this system.
Brandon Lord, executive director of trade programs at CBP, stated in a filing that the planned system will be more efficient than current processes. He explained that the agency cannot immediately begin refunding tariffs deemed illegal by the Supreme Court due to the "unprecedented volume" of cases.
Lord cited that existing administrative procedures and technology are not equipped for the scale of refunds required, necessitating manual work that would divert personnel from the agency's trade enforcement mission. Consequently, Judge Eaton suspended his earlier directive for immediate refunds, allowing CBP the necessary time to establish its new system.
The tariffs, imposed under the International Emergency Economic Powers Act (IEEPA), collected approximately $166 billion in duties and estimated deposits. Over 330,000 importers had made more than 53 million entries subject to these now-illegal duties.