Client Advisory

Client Advisory 06.09.26: IEEPA Refund Appeal and New Tariff Actions

Although June is just getting underway, there have already been several significant tariff and tariff-refund updates to share. On June 2, the Department of Justice (DOJ) filed an appeal of the Court of International Trade’s (CIT) ruling that would require the refund of all IEEPA tariffs paid by importers. In addition, the U.S. Trade Representative (USTR) published the findings of its Section 301 investigation last week and proposed additional tariff actions. Most recently, modifications to Section 232 tariffs took effect on June 8, adding yet another layer of change for importers to monitor.

The Appeal of IEEPA Tariff Refunds:

The Department of Justice has filed its long-anticipated appeal of the Court of International Trade’s (CIT) order requiring the government to refund all IEEPA tariff payments to all importers. The DOJ is challenging the CIT’s authority to order refunds on a universal basis. The government’s position is that importers seeking refunds for finally liquidated entries must pursue their own litigation. These entries are outside CBP’s control and are not currently eligible for refunds through CAPE declarations submitted in the CAPE Portal. Although such entries were expected to be addressed in CAPE Phase 2 or a later phase, CBP cannot process refunds for them while the appeal remains pending.

NEW Section 301 Tariffs Proposed:

The USTR has been conducting Section 301 investigations since March 2026 and recently published its findings, which propose imposing additional tariffs of either 10% or 12.5% on imports from sixty countries. The proposed 10% rate would apply to countries that have taken meaningful steps to prohibit forced labor or have made relevant commitments to address the issue, while the higher 12.5% rate would apply to countries that have not done so.

The countries subject to the new, proposed 10% tariff:

  • Canada, Ecuador, the European Union, Indonesia, Mexico, and Pakistan (Countries that impose a forced labor import prohibition)
  • Argentina, Bangladesh, Cambodia, Ecuador, El Salvador, Guatemala, Indonesia, Malaysia, and Taiwan (Countries that have undertaken commitments in their respective Agreements on Reciprocal Trade regarding forced labor import prohibitions)
  • UK (which has imposed a partial regime with the effect of preventing the importation of certain forced labor goods)

The proposal includes several product-specific exclusions outlined in both the main document and accompanying annexes. Examples include oil, rare earth minerals, pharmaceuticals, and some food products. The USTR is accepting written comments through July 6 and will hold public hearings on July 7 before final determinations on tariff implementation are made. These tariffs would stack on top of regular duty rates and all other existing, applicable tariffs.

Read the USTR’s press release HERE

Section 232 Adjustments:

June 8th marks the effective date for some refinements to Section 232 tariffs on steel, aluminum, and copper products. There are two key updates to take note of:

  • The threshold for an imported product to qualify as having a US origin has been adjusted from 95% down to 85% to encourage use of American aluminum, steel, and copper in downstream derivative products.
  • Some industrial, agricultural, and electrical-grid equipment was added to the list of products which qualify for a 15% tariff (reduced from 25%). This lower duty rate on qualifying products is scheduled to remain in effect through December 31, 2027

Read the White House Proclamation HERE

The Laufer Group team will continue to monitor these changes and provide updates on any significant developments.

Please contact your local customer service or sales representative for additional information and service options and continue to visit laufer.com for more market Insights.

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