WASHINGTON — The U.S. Customs and Border Protection tariff refund system went live Monday, marking what small business advocates call a “complex” first step for entrepreneurs to recoup $166 billion in import taxes accrued under President Donald Trump’s emergency tariffs, which the U.S. Supreme Court struck down in February. 

Importers and brokers can now upload a detailed list of each tariff paid under Trump’s now illegal order to charge duties under the International Economic Emergency Powers Act, or IEEPA. 

Customs officials estimate 330,000 importers paid the duties. Refunds are expected within 60 to 90 days, according to CBP.

The Supreme Court’s 6-3 decision earlier this year found Trump’s steep global tariffs exceeded his presidential powers.

Following the high court’s decision, U.S. Court of International Trade Judge Richard Eaton ordered the government to stop charging the tariffs and establish a refund system.

A handful of small businesses and Democratic state attorneys general led the legal challenge to Trump’s 2025 “Liberation Day” tariffs. 

Small business owners angry, frustrated

States Newsroom documented the experiences of several small businesses across the U.S. who faced increased costs following Trump’s change in international trade policy.

Now many are experiencing a “confusing mix of relief,” Richard Trent, executive director of Main Street Alliance, told States Newsroom in an interview Monday.

Trent, whose organization advocates on behalf of small businesses said “our entrepreneurs, many of whom were angry that they had to pay tariffs in the first place, and were frustrated by the back-and-forth over the last year, opened up the portal this morning only to see that it had crashed. It just feels like the uncertainty just keeps popping up.”

Trent, who spoke to “five or six” businesses Monday morning who experienced technical issues, said the portal was up and running again by afternoon.

Customs and Border Protection did not confirm for States Newsroom whether the system had crashed, but rather provided a written statement.

“U.S. Customs and Border Protection has developed a new tool, the Consolidated Administration and Processing of Entries (CAPE), to efficiently process refunds, pursuant to court order, for importers and brokers who paid IEEPA duties,” according to an agency spokesperson. 

“CBP has issued guidance to the trade community to help them prepare to use the new CAPE tool. Importers and brokers can visit CBP’s website for resources and step-by-step guidance,” the statement continued. 

Monday’s launch is the first part of a four-step process in refunding the taxes paid by American businesses of all sizes.

Trent said the “complex” process is yet another hurdle for small operations.

“This is progress, but it’s not yet justice,” Trent said in an earlier statement Monday. “Small business owners should not have to jump through hoops to get back money they never should have had to pay. We need a refund process that is simple, accessible, and fast.”

Guides for refunds

The Liberty Justice Center, the libertarian legal advocacy group that represented small business plaintiffs before the Supreme Court, has established the Tariff Equity Refund Resource for America. The platform offers online guides for how to properly submit documentation for the refunds.

“We took this fight all the way to the Supreme Court on behalf of small businesses, and we’re not stopping now,” Sara Albrecht, chair of the Liberty Justice Center, said in a statement Monday. “We are a nonprofit law firm — our only goal is to help businesses recover every dollar they are owed, not to take a percentage of it. At a time when others are looking to profit off confusion, we are making this process clear, accessible and free.”

Trump declared international trade a national emergency just over a year ago, citing a trade imbalance on imports and exports between the United States and several other countries. The president imposed a 10% blanket tariff on all global imports and steeper double-digit taxes on products from some of the top U.S. trading partners.

The president delayed and changed the rates on numerous occasions. 

Following his Supreme Court loss, Trump imposed a new round of universal, temporary tariffs under a separate statute. The Liberty Justice Center is again representing small businesses in court to fight the new import taxes.

A bipartisan pair of U.S. senators from the Midwest on Thursday asked the Commerce Department to investigate major agricultural machinery manufacturers, saying they paid shareholders handsomely while offshoring jobs.

Sens. Tammy Baldwin, a Wisconsin Democrat, and Bernie Moreno, an Ohio Republican, asked Commerce Secretary Howard Lutnick to open an investigation under a law that allows tariffs to be used for national security purposes.

John Deere, Caterpillar and the Wisconsin-based Case New Holland had all laid off U.S. workers in recent years while moving manufacturing jobs to Mexico. The moves hollowed out Midwest industrial towns but made the companies enormous profits, Baldwin and Moreno wrote. 

“These companies should not be allowed to eliminate American jobs, pay Mexican workers poverty wages, and then ship products back to the U.S. for additional profit on the backs of our communities,” they wrote. “They argue that offshoring is necessary to remain competitive, but when it comes time to pay executives or shareholders, they are never short of money.”

The companies have all delivered generous payments to shareholders in recent years, the senators said. John Deere has paid $8.4 billion, CNH has paid $1.7 billion and Caterpillar has paid $18.2 billion through dividends and stock buybacks, they wrote.

But payouts for investors came at the expense of their blue-collar workforce, Baldwin and Moreno wrote.

CNH laid off 220 workers from its Racine, Wisconsin, facility in 2024 and moved production to Mexico. All of the roughly 200 CNH workers in a Burlington, Iowa, facility are set to lose their jobs after the company announced in January it would close the plant. And John Deere laid off more than 3,600 union employees after moving production from Iowa to Mexico, the senators said.

Representatives for the companies did not immediately return messages seeking comment Thursday. 

Section 232

The lawmakers asked Lutnick to open an investigation that could result in so-called Section 232 tariffs to deter the companies from moving production to Mexico. 

“These companies and their executives should not be rewarded for destroying American jobs or permitted to import their products without facing a penalty,” they wrote.

The tariffs, named for the section of the 1962 law that created them, permits the administration to levy tariffs for national security purposes. Though created in 1962, no administration used them until President Donald Trump’s first term, when he imposed tariffs on steel and aluminum.

The administration now “has a unique opportunity,” the senators said, to prevent heavy equipment manufacturers from moving more jobs out of the country.

However, they added that any Section 232 investigation would be limited by a free trade agreement with Canada and Mexico that Trump approved in his first term. They called for the administration to “address … issues” created by the agreement, known as the U.S.-Mexico-Canada trade agreement.

The agreement “has incentivized major heavy equipment manufacturers to locate production in Mexico,” they wrote. “Any efforts that the Administration takes solely on Section 232 will be weakened by the shortcomings that currently exist in USMCA.”

Spokespeople for the Commerce Department and White House did not immediately return messages seeking comment.

MAGA appeal

The senators’ letter appeals to key parts of Trump’s political coalition. 

Throughout his decade in politics, he has focused messaging on protecting farming and reviving domestic manufacturing industries. 

In both his victorious presidential elections, the Republican won unusually large slices of union workers in swing states with legacy manufacturing industries while running up a major advantage with rural voters.

Trump has aggressively — and controversially — employed tariffs to encourage domestic production.

He is scheduled to host nearly 1,000 farmers at the White House on Friday.