Global shoppers who engaged with international vendors last year might want to take a closer look at their financial statements. A shift in tariff policies is leading to unexpected financial returns.
Shipping giants such as FedEx and UPS, who often serve as customs brokers for imported goods, have begun distributing tariff refunds to consumers who initially bore the cost. This move comes after the U.S. Supreme Court invalidated extensive tariffs introduced by President Donald Trump in March 2025 under the 1977 International Emergency Economic Powers Act, affecting imports from nearly all nations. Following the ruling, the government is mandated to return the collected tariffs.
To date, around $100 billion in tariffs have been reimbursed to companies through a mechanism facilitated by U.S. Customs and Border Protection. However, American consumers should not expect to recoup the full amount they paid in tariffs since many were indirectly incurred. In 2025, these tariffs led to an average $1,000 tax hike per U.S. household, as reported by the Tax Foundation.
Shippers Initiate Direct Refunds to Consumers
While major retailers absorbed tariff costs or adjusted prices, some smaller sellers left the responsibility to consumers upon package arrival in the U.S. In such instances, shippers like UPS, DHL, and FedEx paid the tariffs and have now started refunding these amounts to customers, based on the original payment dates.
FedEx has commenced returning $800 million in tariff refunds to its customers. Consumers can verify their refund status by inputting tracking numbers into a FedEx portal. UPS, having paid $5 billion in tariffs, is also processing refunds, starting with a $500 million claim, and expects customers to receive reimbursements shortly after they are refunded by the Treasury.
DHL is engaged in a similar process, filing claims for eligible shipments and returning the received refunds. “The volume and pace of refunds continue to depend on CBP’s processing of claims,” DHL stated.
Retailers and Refund Allocation
Large retailers, who often incorporated tariffs through price adjustments or product alterations, are unlikely to issue direct consumer refunds. Amazon, for instance, disclosed receiving $600 million in tariff refunds but clarified that it isn’t the primary importer for most products. CFO Brian Olsavsky explained that refunds would be issued where specific import charges were passed to customers, while the remainder would help reduce prices.
Best Buy and Costco echoed similar approaches, with Best Buy planning to return value to customers and Costco considering partial refunds based on various factors, including lawsuit developments.
Legal Challenges Over Tariff Costs
Customers are actively pursuing legal recourse to claim refunds on tariffs paid through increased prices. Over 80 class-action lawsuits have been filed against major retailers like Costco, Nike, and Walmart. However, legal experts, such as Lori Leskin from Arnold & Porter’s Consumer Products Practice Group, warn of challenges in proving that price hikes were directly tied to tariffs. “It’s going to be very hard for anyone to establish that the price increase they paid was due to tariffs and not some other market force,” Leskin noted.
