US Activates 'Trump Tariff' Refund System... Begins Procedure to Return 245 Trillion Won

US Activates 'Trump Tariff' Refund System... Begins Procedure to Return 245 Trillion Won

The U.S. government has initiated a refund process for tariffs collected by the Donald Trump administration that were later ruled illegal.

According to the Associated Press on the 20th (local time), the U.S. Customs and Border Protection (CBP) activated an online refund system starting today to return approximately $166 billion (about 245 trillion won) in tariffs.

Importers and customs brokers can apply for refunds through a dedicated portal.

The refund system, named 'CAPE', allows for a consolidated refund application rather than requiring separate applications for each import transaction.

According to CBP, this means companies that have declared multiple imports can receive their refunds in a lump sum via electronic payment.

To apply for a refund, one must register for the electronic payment system for refunds.

As of the 14th, 56,497 importers had completed electronic payment registration, and the total amount they are set to receive, including interest, is approximately $127 billion (about 187 trillion won).

However, refunds will be processed in stages.

Applications for recent imports and those with relatively simple procedures will be processed first.

CBP plans to disburse refunds within 60-90 days after review, but applications requiring manual review may experience delays.

Megan Supino, a partner at law firm Ice Miller, advised, "As this is an online system attracting a lot of attention, some errors may occur initially," adding, "Patience will be required."

According to data submitted by CBP to the U.S. Court of International Trade (USCIT), there are 330,000 eligible importers and a total of 53 million import transactions.

This measure is a follow-up to the U.S. Court of Appeals for the Federal Circuit's ruling in February that the Trump administration's imposition of tariffs based on the International Emergency Economic Powers Act (IEEPA) was an illegal act that infringed on congressional authority.

Meanwhile, after the tariff refunds to businesses, refunds are also expected for consumers who paid tariffs on goods ordered from overseas.

Delivery companies such as FedEx and UPS, which directly collected tariffs from consumers, have stated that they plan to return the refunds to customers as soon as they receive them.