The Supreme Court struck down reciprocal tariffs imposed by Donald Trump on nearly every U.S. trading partner during his first year back in office, forcing the administration to refund $166 billion in illegal duties. Importers, not end consumers, are eligible for repayments even though most companies passed tariff costs directly to shoppers through higher prices.

Retail giants including Costco, Walmart, Target and Home Depot top the list of refund recipients. Citi Research estimates Walmart alone could recover more than $10 billion in overpaid duties, with Target due over $2 billion and Nike owed $1 billion. Most retailers stay silent, though FedEx, UPS and DHL pledged to share refunds with customers.

Only Costco previously pledged to pass savings to shoppers, though it has not detailed how. Consumers filed class-action suits against Costco, FedEx and UPS, arguing companies should not profit twice from tariff hikes and federal refunds. Democrats demand the administration return funds to families, but Trump opposes any direct household repayments, calling company forfeiture 'brilliant'.

The National Retail Federation notes direct tariff refunds to shoppers are logistically difficult, as retailers cannot trace specific price hikes to individual tariff payments. Executives can’t pull single tariff costs from thousands of goods, but the group expects many companies to return windfalls through future discounts rather than formal rebate checks.