'We'll Be In Court For Next 5 Years': Trump Responds to Tariffs Refund Crisis After SC Ruling

New Delhi: The US Supreme Court struck down President Donald Trump’s far-reaching global tariffs on Friday, handing him a stinging loss that sparked a furious attack on the court he helped shape.

Trump, after the ruling, came down heavily on the order, saying he was “absolutely ashamed” of some justices who ruled 6-3 against him, calling them “disloyal to our Constitution” and “lapdogs.” 

At one point he even raised the specter of foreign influence without citing any evidence.

Supreme Court ruling against tariff mandates

President Trump voiced his frustration with the Supreme Court’s ruling against his broad tariff mandates, noting that the decision failed to address the status of the billions in revenue already collected over the last year.

In response to a question at the White House, Trump said, “We’ve taken in hundreds of billions of dollars, and so, I say, ‘What happens to all of the money that we took in?’ It wasn’t discussed."

“Wouldn’t you think they would’ve put one sentence in there saying keep the money or don’t keep the money? I guess it has to get litigated for the next two years. So, they write this terrible, defective decision. It’s almost like being written by not-so-smart people," he added.

'Was never even addressed'

Trump emphasized that the question of returning the collected funds was never even addressed by the justices.

Trump suggested Friday he doesn't plan to honor refunds to companies who file for them.

"It's not discussed. We'll end up being in court for the next five years," Trump said.

Ripple effects on economies

U.S. President Donald Trump responded with fury to Friday's Supreme Court ruling that he lacked the power to unilaterally set tariffs on imports, denouncing individual justices as he vowed to continue a global trade war that has kept the world on edge for a year.

Saying he was undeterred by what he repeatedly called a ridiculous ruling, Trump announced an immediate new 10% tariff on imports from all countries, on top of any existing tariffs, and then issued a proclamation putting them into effect. The law allows him to impose a levy of up to 15% for 150 days, although it could face legal challenges.

The court's landmark 6-3 ruling upended the leverage Trump and his trade envoys have wielded over foreign governments at negotiating tables to reshape diplomatic relations and global markets.

How are tariffs collected?

For nearly all goods subject to tariffs, an importer posts a bond with the Customs and Border Protection agency and pays an estimated tariff on the merchandise to bring it into the United States.

The government makes a final determination of the tariffs on those goods, a process known as liquidation, which usually happens 314 days after entry of the goods. 

Excess payments are refunded or the importer must cover the shortfall. Importers filed suit at the U.S. Court of International Trade to try to stop the process of determining final tariff payments while the Supreme Court was considering the case, but that court denied the request.

How to refund the money?

In a dissenting opinion, Justice Brett Kavanaugh said the court's ruling was likely to generate serious practical consequences in the near term, including refunds. He noted it was acknowledged at oral arguments that distributing refunds was likely going to be "a mess," as per Reuters.

How might refunds be handled?

More than 1,000 lawsuits have been filed by importers in the trade court seeking refunds, and a flood of new cases is likely. The court ruled in December that it had the power to reopen the final tariff determinations and order the government to pay refunds with interest -- an authority the Trump administration said in court it would not challenge. That decision removed potential legal complications to refunds, according to trade experts.

SC on Trump tariff

The U.S. Supreme Court struck down Donald Trump's sweeping tariffs that he pursued under a law meant for use in national emergencies, handing the Republican president a stinging defeat in a landmark ruling on Friday with major implications for the global economy. 

The 6-3 decision, opens new tab, authored by conservative Chief Justice John Roberts, provoked a furious reaction from Trump, who denounced the justices who ruled against him.

Also Read: 'On Their Way': Trump Signs Sweeping Order for 10% Global Tariffs After SC Setback, Says It Takes Effect 'Almost Immediately'