US government, 30 trillion won tariff refunds so far... 12% of total estimated scale

"US government, 30 trillion won tariff refunds so far... 12% of total estimated scale"

The US Donald Trump administration has completed refunds of $20.6 billion (approximately 30.8 trillion won) of 'reciprocal tariffs' (country-specific tariffs imposed with differential rates) import duties, which were confirmed to be 'illegally collected', ABC reported on the 28th (local time), citing court documents.

This amount accounts for 24.2% of the $85 billion in approved refunds. The US Customs and Border Protection (CBP), which collects tariffs, had previously stated that it might have to refund up to $166 billion to over 330,000 importers. Based on this, the refund rate is 12.4%.

The Trump administration began tariff refunds on the 12th. This is almost three months after the Federal Supreme Court ruled on February 28 that the imposition of reciprocal tariffs and fentanyl tariffs (tariffs imposed on China, Mexico, etc. for not cooperating in blocking fentanyl's entry into the US) based on the International Emergency Economic Powers Act (IEEPA) was illegal.

John Rainey, CFO of large retail chain Walmart, announced in a conference call last week that the company plans to lower consumer prices by utilizing the expected $2.4 billion in refunds.

Not only Walmart, but also major consumer goods sellers such as membership-based warehouse store Costco, home improvement store Home Depot, General Motors (GM), and Apple are processing tariff refunds.

Logistics giants such as UPS, FedEx, and DHL have announced plans to refund directly to their major customers. UPS recently provided guidance on its website on how importers can claim tariff refunds.

However, it is expected to be difficult for consumers who have already purchased products with tariffs reflected to receive the money directly. According to the Tax Foundation, the imposition of tariffs added an average burden of $700 per household for Americans last year.

On the day tariff refunds began, President Trump, in an interview with WABC, called the tariff refund situation "crazy" and said, "We will fight against it."

In response to the illegal ruling on reciprocal tariffs, the Trump administration is imposing a 10% global tariff based on Section 122 of the Trade Act. While this lawsuit is also ongoing (the Trump administration lost in the first instance), USTR Representative Jamison Greer also hinted at the possibility of re-imposing it if the 150-day deadline expires in July.

While covering the burden of reciprocal tariff refunds through such 'temporary measures', the USTR is conducting Section 301 investigations against major countries to fundamentally replace reciprocal tariffs.