Manufacturers May Be Eligible for Tariff Refunds

A recent U.S. Supreme Court decision is creating a meaningful and time-sensitive opportunity for manufacturers and distributors, but many businesses may not yet realize how it applies to them.

In February 2026, the Court ruled that certain tariffs imposed under the International Emergency Economic Powers Act (IEEPA) were unlawful. As a result, U.S. Customs and Border Protection (CBP) has begun accepting refund claims and initiating the refund process for duties paid while these tariffs were in effect in 2025 through early 2026, plus interest.

For companies operating in manufacturing and distribution, this is not just a regulatory update. It is a potential cash recovery event and a strategic supply chain moment.

If your business imports goods directly, the opportunity is relatively clear. Tariff rates varied significantly depending on the country of origin and product category. That means eligible companies could be entitled to substantial refunds, now being processed through CBP’s CAPE system.

But the bigger and often overlooked opportunity is for companies that do not import directly.

Many manufacturers and distributors absorbed these tariff costs indirectly through higher supplier pricing. Now that refunds are being issued to importers, those dollars may still be sitting upstream in your supply chain.

That creates a critical question: Are you positioned to recover your share?

This is not just about filing for a refund. It is about understanding where tariff costs existed in your business and acting quickly before the window closes or leverage diminishes.

Refunds are not automatic and require proactive steps, including identifying eligible entries, validating data, and coordinating filings.

Those that do not may miss both the cash recovery and the chance to reset supplier economics.

We are already working with manufacturing and distribution clients who are uncovering previously unrecognized refund opportunities, identifying gaps in import data, and navigating supplier discussions with stronger data in hand.

The complexity is not just in identifying the dollars. Accessing CBP systems, validating entries, coordinating with brokers, and building a defensible position with suppliers all require a coordinated approach.

Even if your company never paid tariffs directly, there is a strong possibility you were impacted.

If your business:

It is worth taking a closer look.

This is a narrow window to recover cash and strengthen your cost position moving forward.

At CSH, we are helping clients assess eligibility, analyze purchasing and import data, and navigate the refund process with confidence.

Connect with your CSH advisor to discuss your situation and identify your next steps.