How Can Pharma Importers Recoup Trump Tariff Payments?

The US Customs and Border Protection (CBP) launched its new tariff refund portal on April 20, 2026.1 The portal provides a way for pharmaceutical importers to reclaim funds following a February Supreme Court rebuke of executive tariff authority, which declared certain tariffs unconstitutional.¹ For pharmaceutical companies navigating the evolving and expensive tariff landscape during the past year, the CBP action is the beginning of a repayment effort.

Why Are Companies Able to Receive Tariff Reimbursements?

In February, the U.S. Supreme Court issued a 6-3 opinion, ruling that the executive branch lacked the authority to use the 1977 International Emergency Economic Powers Act (IEEPA) to impose tariffs applied across a broad range of U.S. trading partners.²

The Court dismissed the administration's argument that the US trade deficit constituted a “national emergency” justifying the use of IEEPA, which authorizes the president to regulate commerce after a national emergency is declared. While previous presidents have used this law to place sanctions on certain countries, President Trump was the first to use it to justify tariffs.² This ruling invalidated a barrage of “reciprocal” tariffs, some as high as 50% for some countries, and a baseline 10% tariff that had been applied to other countries.² Tariffs imposed under other legal authorities were unaffected by the ruling.

How Does This Affect Pharma Companies?

The Supreme Court’s 6-3 decision directly impacts the pharmaceutical sector by invalidating IEEPA tariffs that squeezed margins on imported goods and ingredients.

Major US trade partners that were impacted by these tariffs included the European Union, South Korea, and Japan, which exported pharmaceuticals to the U.S. alongside other goods. India, whose major imports to the U.S. include pharmaceuticals, clothing, and textiles, also faced heightened tariffs during the past year.² According to CBP, more than 330,000 importers paid a total of $166 billion because of those tariffs.¹

For pharma importers, the ruling clarifies that the executive branch cannot unilaterally use IEEPA to regulate trade through tariffs. While some tariffs justified under other laws may remain, those specific duties collected under the IEEPA "emergency" umbrella are now eligible for return.1

How Can Companies Receive Tariff Reimbursements?

To apply for reimbursements, companies have to register for the CBP’s electronic payment system and submit declarations that list products they imported. According to CBP, if a claim is approved, it will take 60-90 days for a refund to be issued.¹

The process requires strict adherence to CBP’s reporting standards. According to the agency, importers must ensure all digital declarations are precise, as any discrepancies in the listed products or the duties previously paid could delay the 60-90 day refund timeline. Because the total amount of duties to be returned is so high, reaching more than $166 billion across all sectors, companies should begin the electronic filing process immediately.

References

1. Anderson M. Trump administration to launch portal for tariff refunds following court ruling. Associated Press. April 20, 2026. Accessed April 20, 2026. https://apnews.com/article/tariff-refund-trump-customs-08861f153801156d213c30c4e2f6a683
2. Grantham-Philips W. Supreme Court rules Trump’s use of emergency powers for global tariffs is unconstitutional. Associated Press. February 20, 2026. Accessed April 20, 2026. https://apnews.com/article/trump-ieepa-tariffs-supreme-court-12487645072a1e1a387db60081509f3c