Supreme Court strikes down IEEPA tariffs — Flexport's Ryan Petersen on the $175B refund question
Feb 20, 2026 with Ryan Petersen
Key Points
- The Supreme Court struck down Trump's reciprocal tariffs under the IEEPA, leaving $175 billion in already-collected tariffs in legal limbo with no guidance on refunds.
- Trade attorneys are charging businesses 15% fees to pursue tariff refunds, creating an opening for Flexport to build an automated calculator at lower cost.
- Hundreds of thousands of importers across dozens of product categories face uncertainty over refund mechanisms, with no clarity on whether claims flow through customs, courts, or another path.
Summary
The Supreme Court struck down Trump's reciprocal tariffs under the International Emergency Economic Powers Act. The ruling left unresolved whether the $175 billion in tariffs already collected from importers over the past year will be refunded.
Ryan Petersen, CEO of Flexport, reports that trade attorneys are preparing to charge businesses 15% fees to pursue refunds on their tariff payments. Flexport is building an automated refund calculator to help companies assess their potential reimbursements at a much lower cost.
The practical challenge is scale. Hundreds of thousands of importers paid tariffs across dozens of product categories. Without Supreme Court clarity, the refund mechanism remains undefined. It could flow through customs authorities, the courts, or another path entirely. That ambiguity is driving demand for third-party tools to help businesses quantify exposure and prepare claims.