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USTR hints court loss could lead to tariff refunds exceeding $100 billion

Published: 07 Nov. 2025, 08:35

U.S. Trade Representative (USTR) Jamieson Greer speaks to journalists outside the White House in Washington on Oct. 30. U.S. President Trump said that the United States and China had reached a deal regarding tariffs and rare-earth metals. [EPA/YONHAP]

U.S. Trade Representative Jamieson Greer indicated Thursday that should the Supreme Court rule against President Donald Trump's "reciprocal" tariffs, his administration may have to issue tariff refunds that could exceed $100 billion in total.

Greer discussed the issue during an interview with Fox News, a day after the Supreme Court held an oral hearing on the legality of Trump's use of the International Emergency Economic Powers Act (Ieepa) to impose tariffs on America's trading partners, including Korea.

During the oral arguments, some conservative and liberal justices at the top court showed skepticism over Trump's claim of the tariff authority, fueling speculation that businesses could receive refunds should his Ieepa tariffs be overruled.

"So the reciprocal tariffs that were at issue yesterday [...] I don't have the exact number, but it's over $100 billion, but I think it's going to be less than $200 billion or thereabouts," Greer said.

"The court itself signaled that [...] what do you do in the case that the tariffs are overruled [...] what do you do with that money. I mean, in some cases, specific plaintiffs will get a refund," he added.

He noted that if the court rules against the government, it will have to work out a refund schedule and determine the rights of the parties involved.

Who would be eligible for a refund was one of the issues discussed during Wednesday's hearing.

Justice Amy Coney Barrett, a justice appointed by Trump, pointed out that issue, reportedly saying that it would be "a mess" if the Trump administration had to pay the money back.

In late August, a federal appeals court ruled that the Ieepa, which Trump invoked to roll out reciprocal tariffs, does not actually grant him the authority to levy the across-the-board duties.

U.S. companies have paid nearly $90 billion for the Ieepa tariffs as of Sept. 23, CNN reported, citing data from U.S. Customs and Border Protection.

During a press availability later in the day, Trump underscored the importance of tariffs, saying that thanks to the power of the levies, his administration has reached trade deals with Korea and other countries.

"We've made trade deals based on that [...] As an example, the European Union, $950 billion; Japan, $650 billion; South Korea, $350 million. Without this, we're not talking about that kind of money," he said. In fact, Japan has committed to investing $550 billion in the U.S.

He went on to say that without the duties, the U.S. would be "defenseless" against tariffs from other countries.

"I can't imagine that anybody would do that kind of devastation to our country," he said.

Trump has used tariffs as a key policy tool to reduce America's trade deficits, increase federal revenue, bring in foreign investments and bolster domestic manufacturing. He has regarded the persistent U.S. trade deficits as a national emergency.

Yonhap