US Treasury chief: Scrapping Trump tariffs may force $1T in refunds

US Treasury Secretary Scott Bessent warns that scrapping Trump tariffs may force the government to refund importers between $750 billion and $1 trillion

US Treasury Secretary Scott Bessent warned that if the Supreme Court rules President Donald Trump lacked the authority to impose tariffs, the government could be required to refund importers between $750 billion and $1 trillion.

Bessent said he was confident the Trump administration would persuade the Supreme Court to overturn lower court rulings, arguing that striking down the tariffs could cause major disruption.

Two federal courts have already found many of Trump’s steep tariffs unlawful, and the White House has asked the Supreme Court to reverse those decisions, CNBC reported.

Experts cautioned that scrapping the tariffs would trigger administrative and legal chaos, since importers would need to file refund claims individually. Some companies have already begun considering selling their refund rights to intermediaries at steep discounts.

While the US has previously dealt with tariff refund cases, the potential sums at stake in this case are unprecedented and could weigh heavily on public finances and the broader economy if the court orders repayment.