By: Brian Walczyk, Compliance Manager, TradeInsights, LCB, CCS

V. Alexander & Co., Inc. has compiled some knowns, unknowns, and preparatory steps for your consideration when navigating the recent SCOTUS ruling on IEEPA and the upcoming wave of refunds.

Known

• Update: The administration has stated before the courts it will refund the money collected on IEEPA. The CIT Slip Op 25-154 consolidates many statements from the administration (DOJ) on the matter of honoring refunds should the CIT rule they are to be granted.

“Having convinced this court to accept that importers who paid IEEPA tariffs will be able to receive refunds after reliquidation and having benefited from the court’s subsequent conclusion that importers will not experience irreparable harm as a consequence of liquidation, the Government cannot later “assume a contrary position” to argue that refunds are not available after liquidation.”

• Update: The Court of International Trade (CIT) will issue guidance on how refunds are properly applied for. The mechanism for if, how, and when will be set by the CIT. Importers of the lead case filed a motion on Feb 24 at the US CAFC for the “immediate issuance of the mandate” which will allow the CIT to proceed in adjudicating the IEEPA refund process.

Unknown

• What the mechanism will be for refunds.

Whether it is Post Summary Corrections, Protests, automatic reliquidation, or some other court / US CBP administrative request – the trade community eagerly awaits formal guidance.

• How quickly will the CIT issue its decision.

Treasury Secretary Scott Bessent stated it could be weeks or months before the CIT issues guidance on the refund process.

How to Prepare

• Update: Run your ES-003 reports in ACE to get a sense of your IEEPA refund universe. If V. Alexander is your sole broker please connect with our TradeInsights team on customized IEEPA Refund Exposure reports!

These reports from ACE give you a picture into your import activity touched by IEEPA. TradeInsights can help you make sense of the data, and provide advisory services on what may require proactive action to help protect your rights to refunds.

• Make sure ACE ACH Refunds are enabled for your ACE account.

US CBP has transitioned to electronic refunds. V. Alexander can help walk you through the process of getting set-up so you do not miss out on the refunds when they are issued.

• Seek guidance from your broker, compliance team, and legal counsel on additional preparations based on your supply chain and import programs.

At V. Alexander we look at the big picture – knowing that engagement at various levels will be paramount to staying ahead of the tariff whiplash. If you do not have a plan let us help you create one by connecting the parties together that will make the magic happen!

We will continue to monitor this situation and issue updates as needed. Please contact your V. Alexander account team, or you may also contact our Trade Compliance team at tradeinsights@valexander.com with any questions, and you can always follow us on our website www.valexander.com for updates on this and other topics.