U.S. Treasury Secretary Scott Bessent assured the department has sufficient funds to pay any potential tariff refunds if the Supreme Court rules against President Donald Trump‘s emergency tariffs.
Treasury Says Funds Available
In an interview with Reuters, Bessent said the Treasury has enough funds to handle any potential tariff refunds, which could be distributed over several weeks or even up to a year. As of Thursday, the department’s cash on hand totaled nearly $774 billion, more than enough to cover any repayments, according to the report.
The legality of the “Liberation Day” tariffs and whether Trump has the authority to impose them under the International Emergency Economic Powers Act (IEEPA) is the epicenter of the case.
Citing trade deficits as a national emergency, Trump imposed what he described as “reciprocal” tariffs on goods from nearly every foreign trading partner.
Outcome Could Complicate Refunds
The Treasury Secretary expressed skepticism that the Supreme Court would rule against Trump’s tariffs, noting that any refunds would mostly go to companies that had passed the extra costs on to their customers.
Bessent also noted that a negative ruling might not be a straightforward yes-or-no outcome, potentially complicating the refund process.
The U.S. president has also previously suggested on Truth Social that overturning the tariff could “literally destroy” the United States.
Court Decision Timing Unclear
The U.S. Supreme Court did not issue a ruling on Trump’s global tariffs on, with traders estimating a 75% chance of the court ultimately ruling in favor of the tariffs. The court has not yet announced when it will decide on the case.
The ruling is expected to be issued by the Supreme Court on Wednesday.
Bessent has suggested that a prolonged delay in the tariff decision could increase the likelihood of the Supreme Court ruling in Trump’s favor.
Photo courtesy: Maxim Elramsisy / Shutterstock.com
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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