As you may be aware, recent judicial actions have called into question certain tariffs previously assessed on imported goods. While this has generated increased media attention and discussion around potential refunds, it is important to clarify the current reality and process.
At this time, no automatic refunds have been issued by U.S. Customs and Border Protection. Any potential recovery requires a formal, entry-specific claims process, with submissions currently being filed through the CAPE portal for CBP review. There is currently no defined guidance on next steps or timing, and the process is expected to take a significant amount of time. There is also no assurance that claims will be approved or that any funds will ultimately be recovered.
Our approach: We are actively evaluating and, where appropriate, will pursue recovery of eligible tariffs through the proper administrative channels. This process is complex and requires detailed validation of import records on an entry-by-entry basis.
Any approved refunds are issued by the U.S. Customs and Border Protection to the Importer of Record (IOR) associated with the original entry. Refunds are not automatically passed through the supply chain, and there is no universal or statutory requirement for downstream reimbursement. Each situation must be evaluated based on the specific transaction structure and pricing terms in place at the time of sale.
Should reimbursement ultimately be received, we will review applicable transactions and determine any potential customer allocation on a case-by-case, pro-rata basis, taking into account:
- The extent to which tariffs were clearly and directly passed through.
- Verified linkage to specific purchases and import entries.
- Administrative, legal, and recovery-related costs incurred in the claims process.
Additional considerations:
- Tariffs previously charged were government-imposed import duties assessed at the time of entry and reflected in market-based pricing at the time of sale.
- In many cases, tariffs were not a discrete line item, but part of overall product pricing.
- Purchases made from stock or on a spot basis were transacted at prevailing market prices and, as such, may not be eligible for tariff recovery or reimbursement.
- Any potential recovery is dependent on successful claims and actual receipt of funds from U.S. Customs and Border Protection.
- We will not issue credits, refunds, or adjustments in advance of confirmed recovery.
Summary:
While recent media coverage has created the impression of immediate and broad refunds, the reality is that any recovery is uncertain, time-dependent, and limited to specific import claims.
We are committed to operating in good faith and will keep you informed as more clarity becomes available. In the meantime, please reach out to your sales representative with any questions related to tariffs and the recovery process.