Trump tariffs trashed: US businesses fret as court ruling 'worryingly silent' over refunds
Times of India
by TOI BUSINESS DESKFebruary 20, 2026
AI-Generated Deep Dive Summary
The US Supreme Court delivered a significant blow to President Donald Trump’s trade policies by ruling that he could not use the 1977 International Emergency Economic Powers Act (IEEPA) to impose sweeping tariffs. This landmark decision came as a major victory for thousands of American businesses, many of which had filed lawsuits challenging the tariffs imposed during Trump’s presidency. However, while companies are celebrating the court’s decision, the process of obtaining refunds for the billions of dollars in tariffs already collected is expected to be slow and complex. Legal experts warn that the refund process could take months or even years, leaving businesses with uncertainty about when they will see any financial relief.
The ruling has far-reaching implications for global trade and economics. The tariffs imposed by Trump were not only aimed at addressing specific trade issues but also used as leverage in diplomatic negotiations with other countries. Industries such as consumer goods, manufacturing, and automotive were particularly hard-hit, as the tariffs increased import costs and disrupted supply chains. Many companies reliant on low-cost production in countries like China, Vietnam, and India faced significant financial losses. The decision has sparked a wave of new lawsuits, with over 1,800 cases filed since April, compared to fewer than two dozen in previous years.
The court’s ruling has also raised questions about the future of US trade policy. While Trump administration officials have suggested that tariffs will continue to be used under different legal frameworks, the lack of clarity on refund management has left businesses uneasy. The US Court of International Trade is expected to oversee the refund process, which legal experts describe as “worryingly silent” in terms of details. This uncertainty has prompted some companies to explore alternative strategies, such
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Originally published on Times of India on 2/20/2026