The Supreme Court’s February 20 ruling struck down tariffs imposed under IEEPA. Not all tariffs. Not Section 301 tariffs on China. Not Section 232 tariffs on steel and aluminum. Not antidumping or countervailing duties. Only tariffs imposed under the International Emergency Economic Powers Act.
This distinction matters enormously because many importers paid multiple types of tariffs on the same entries. A single shipment of Chinese-origin goods might have been subject to the standard MFN duty rate, a Section 301 surcharge, and an IEEPA surcharge — all assessed on the same entry summary. Only the IEEPA component is refundable.
If you don’t know which tariffs on your entries are IEEPA and which aren’t, you can’t accurately estimate your recovery. This article breaks down the five major tariff categories, explains how to identify each one in your entry data, and shows you how to separate the refundable from the non-refundable.
The Five Tariff Categories
The article's core point is classification discipline. Only IEEPA headings 9903.01 and 9903.02 are in-scope; every other major tariff regime remains outside the refund.
Here’s the landscape at a glance:
| Tariff Type | Legal Authority | Refundable After IEEPA Ruling? | HTS Identifier |
|---|---|---|---|
| IEEPA tariffs | International Emergency Economic Powers Act | YES | 9903.01.xx, 9903.02.xx |
| Section 301 tariffs | Trade Act of 1974, Section 301 | No | 9903.88.xx |
| Section 232 tariffs | Trade Expansion Act of 1962, Section 232 | No | 9903.80.xx, 9903.81.xx |
| AD/CVD duties | Tariff Act of 1930, Titles VII | No | Case-specific |
| Standard MFN duties | Harmonized Tariff Schedule | No | Product-specific |
The critical takeaway: only HTS codes beginning with 9903.01 and 9903.02 are IEEPA tariffs and eligible for refund. Everything else remains in force and is not affected by the Supreme Court ruling.
IEEPA Tariffs: What’s Refundable
IEEPA tariffs were imposed through a series of executive orders beginning in February 2025, using the International Emergency Economic Powers Act as the legal basis. The President declared various “national emergencies” — related to fentanyl trafficking, trade deficits, and other stated rationales — and used IEEPA’s broad emergency powers to impose tariffs on imports from specific countries.
The IEEPA Tariff Programs
Fentanyl tariffs (HTS 9903.01.xx): Initially imposed at 10-25% on imports from China, Canada, and Mexico in early February 2025. The stated justification was the flow of fentanyl precursors and finished product across U.S. borders. These rates escalated multiple times, with China-origin goods eventually reaching as high as 145% when combined with prior IEEPA actions.
Reciprocal tariffs (HTS 9903.02.xx): Imposed in April 2025 on imports from virtually every U.S. trading partner. Rates varied by country, based on a formula the administration described as “reciprocal” to each country’s trade barriers. These ranged from 10% to over 50% depending on the trading partner.
Why They Were Struck Down
The Supreme Court held that IEEPA was enacted to address financial emergencies — asset freezes, transaction blocking, sanctions — not to impose tariffs. Tariffs are a core congressional power under Article I of the Constitution, and Congress never delegated that power through IEEPA. The constitutional basis of the ruling is explored in detail in a separate analysis.
How to Identify IEEPA Tariffs in Your Data
Pull your ES-003 Entry Summary Details report from CBP’s ACE portal. Look for duty lines with HTS codes that begin with 9903.01 or 9903.02. These are your IEEPA tariff lines. The duty amount associated with these HTS codes is your refundable amount.
Your customs broker can also filter your entry data by these HTS headings. If you’re working with a claims advisory firm or requesting an Impact Assessment, they’ll do this analysis for you at the entry level.
Section 301 Tariffs: NOT Refundable
Section 301 tariffs on Chinese goods have been in effect since 2018, long before IEEPA tariffs were imposed. They are authorized under Section 301 of the Trade Act of 1974, which allows the U.S. Trade Representative to impose tariffs on countries engaged in unfair trade practices, including intellectual property theft and forced technology transfer.
Current Section 301 Rates
Section 301 tariffs on Chinese goods currently range from 7.5% to 25%, depending on the product category and the specific “list” under which the product was designated:
- List 1: $34 billion in goods at 25%
- List 2: $16 billion in goods at 25%
- List 3: $200 billion in goods at 25% (originally 10%, raised to 25%)
- List 4A: $120 billion in goods at 7.5%
Why They’re Not Affected
Section 301 tariffs are based on a completely different legal authority than IEEPA. The Supreme Court’s ruling addressed IEEPA specifically — it didn’t question the constitutionality of Section 301, which has been upheld by courts repeatedly since its enactment in 1974. Section 301 involves a formal investigation process by the USTR, public comment periods, and specific statutory procedures that IEEPA lacked.
The Overlap Problem
Here’s where many importers get confused. A Chinese-origin product might be subject to:
- 5% standard MFN duty
- 25% Section 301 tariff (List 1)
- 20% IEEPA tariff (fentanyl-related)
On a $100,000 shipment, that’s $5,000 MFN + $25,000 Section 301 + $20,000 IEEPA = $50,000 total duty. After the ruling, only the $20,000 IEEPA component is refundable. The $30,000 in MFN and Section 301 duties remains assessed.
This is why a line-by-line entry analysis is essential. Estimating your refund based on total duties paid will dramatically overstate the actual recovery. For China-specific IEEPA exposure, the China tariff refund guide provides detailed rate schedules that separate IEEPA from Section 301 at the HTS code level.
Get your free Impact Assessment →
Section 232 Tariffs: NOT Refundable
Section 232 tariffs on steel and aluminum were imposed under Section 232 of the Trade Expansion Act of 1962, which authorizes the President to restrict imports that threaten national security. These tariffs have been in effect since March 2018.
Current Section 232 Rates
- Steel: 25% on most steel imports
- Aluminum: 10% on most aluminum imports (raised to 25% in some periods)
Section 232 tariffs are identified by HTS codes beginning with 9903.80 (steel) and 9903.81 (aluminum).
Why They’re Not Affected
Section 232 is a separate statutory authority with its own constitutional basis. The statute explicitly authorizes the President to impose import restrictions (including tariffs) when the Department of Commerce finds that imports threaten national security. Unlike IEEPA, Section 232 was specifically designed to authorize trade restrictions.
The Supreme Court’s IEEPA ruling did not question Section 232’s constitutionality, and existing case law supports the President’s authority under Section 232. Several challenges to Section 232 tariffs have been litigated at the CIT and the Federal Circuit, and the tariffs have been upheld.
Identifying Section 232 in Your Data
If you import steel or aluminum products, your entries may include duty lines under 9903.80.xx or 9903.81.xx. These are Section 232 — not IEEPA — and are not refundable.
Some importers have both Section 232 and IEEPA tariffs on the same entry (for example, aluminum products from China that are subject to Section 232 aluminum duties, Section 301 China duties, and IEEPA fentanyl duties). Only the IEEPA component is recoverable.
AD/CVD Duties: NOT Refundable
Antidumping (AD) and countervailing duty (CVD) orders are administered by the Department of Commerce and enforced by CBP. They apply to specific products from specific countries where Commerce has determined that goods are being sold below fair market value (dumping) or benefit from government subsidies (countervailing duties).
How AD/CVD Works
AD/CVD duties are case-specific — they apply only to the products and countries covered by a particular order. Rates are set individually for each foreign producer/exporter and are subject to annual administrative reviews. They can range from less than 1% to over 200%.
AD/CVD duties are identified by specific case numbers rather than a universal HTS heading. Your entry summaries will show the case number and the applicable rate for each covered product.
Why They’re Not Affected
AD/CVD duties have a completely separate legal framework (Title VII of the Tariff Act of 1930) and have been upheld by courts for decades. They are based on product-specific investigations and determinations, not on emergency presidential authority. The IEEPA ruling has no impact on AD/CVD orders.
Standard MFN Duties: NOT Refundable
Most Favored Nation (MFN) duties are the baseline tariff rates established in the Harmonized Tariff Schedule of the United States (HTSUS). Every imported product has an MFN duty rate — the rate you’d pay absent any special tariff programs, trade agreements, or additional surcharges.
MFN rates are set by Congress and administered by the International Trade Commission. They are the foundation of U.S. tariff law and are not affected by the IEEPA ruling in any way.
How to Separate IEEPA from Everything Else
Here’s the practical process for isolating your refundable IEEPA exposure:
Step 1: Pull Your Entry Data
Request an ES-003 Entry Summary Details report from ACE covering the IEEPA period (February 4, 2025, through February 24, 2026). Ask your customs broker to include all duty lines, including HTS codes at the 10-digit level.
Step 2: Filter for IEEPA HTS Codes
Isolate all duty lines with HTS codes beginning with 9903.01 or 9903.02. These are your IEEPA tariff lines. Sum the duty amounts — this is your gross IEEPA exposure.
Step 3: Cross-Reference with Other Tariff Programs
For each entry that contains IEEPA tariff lines, check whether the same entry also includes Section 301 (9903.88.xx), Section 232 (9903.80.xx, 9903.81.xx), or AD/CVD duty lines. Note these separately — they are not refundable and should not be included in your recovery estimate.
Step 4: Calculate Net IEEPA Exposure
Your net IEEPA exposure is the total duty amount assessed under HTS 9903.01 and 9903.02 across all entries during the affected period. This is the principal amount you’re entitled to recover, plus statutory interest under 19 U.S.C. Section 1505(c).
Step 5: Map Each Entry’s Recovery Path
For each entry with IEEPA exposure, determine the liquidation status:
- Unliquidated: File a Post-Summary Correction
- Liquidated, within 180 days: File a protective protest
- Liquidated, past 180 days: CIT litigation is the remaining option
The four recovery paths analysis explains each option in detail.
Real-World Examples: Separating Tariff Layers
To make this concrete, let’s walk through three typical importer scenarios.
Example 1: Consumer Electronics Importer (China-Origin)
A company importing assembled circuit boards from Shenzhen during Q3 2025. Their entry summary shows:
- MFN duty (HTS 8534.00.00): 0% (free)
- Section 301 List 3 (9903.88.03): 25%
- IEEPA fentanyl (9903.01.xx): 20%
- Total rate applied: 45%
On a $2 million shipment, total duties paid were $900,000. Of that, $400,000 is IEEPA and refundable. The $500,000 in Section 301 duties stays. The importer initially thought they were getting $900,000 back — the accurate number is less than half that.
Example 2: Industrial Equipment Importer (Germany-Origin)
A company importing precision machinery from Stuttgart during June 2025:
- MFN duty (HTS 8458.11.00): 4.4%
- Section 301: Not applicable (Germany not covered)
- Section 232: Not applicable (not steel/aluminum)
- IEEPA reciprocal (9903.02.xx): 20%
- Total rate applied: 24.4%
On a $5 million shipment, total duties were $1,220,000. The IEEPA component is $1,000,000 — and all of it is refundable. Because there are no overlapping tariff programs, the calculation is cleaner. The MFN duty of $220,000 remains.
Example 3: Steel Distributor (Canada-Origin)
A company importing hot-rolled steel coil from Ontario during April 2025:
- MFN duty (HTS 7208.51.00): 0% (free)
- Section 232 (9903.80.01): 25%
- IEEPA fentanyl (9903.01.xx): 25%
- Total rate applied: 50%
On a $3 million shipment, total duties were $1,500,000. The IEEPA component is $750,000 and refundable. The Section 232 component ($750,000) is not. This is a case where the importer is getting exactly half back — and needs to understand which half.
These examples illustrate why the line-by-line analysis matters. Portfolio-level estimates using average rates will consistently miss the mark. The IEEPA tariff refund timeline shows when these different entry types reach key deadline milestones.
Common Confusion Points
”I thought all China tariffs were struck down”
No. Only IEEPA tariffs were struck down. Section 301 tariffs on China (imposed in 2018-2019) remain fully in effect. Many importers of Chinese goods paid both Section 301 and IEEPA tariffs on the same shipments. Only the IEEPA portion is refundable.
”My broker told me I paid 145% on Chinese goods — is all of that refundable?”
The 145% figure represents the cumulative rate at certain peak periods, combining MFN duties, Section 301, and IEEPA. Only the IEEPA component — which varied based on the specific HTS code and the applicable executive order — is refundable. The actual IEEPA component might be 20%, 34%, or another rate depending on the specific program and timing.
”I import steel from Canada — is that refundable?”
It depends on which tariffs are assessed. Section 232 steel tariffs (25%) are not refundable. But if IEEPA fentanyl tariffs were also assessed on the same entries (because the goods originated in Canada during the IEEPA period), the IEEPA component is refundable. You need to look at the specific HTS codes on each entry.
”What if I can’t tell which tariffs are which?”
This is exactly what an Impact Assessment is designed to solve. The assessment analyzes your entry data at the line level, separates IEEPA from all other tariff programs, and calculates the precise refundable amount for each entry. If you’re unsure about your exposure, this is the fastest way to get clarity.
The Future Tariff Landscape and Why It Doesn’t Affect Your Refund
Some importers ask whether changes in trade policy could affect their IEEPA refund. The answer is no — but understanding the broader tariff landscape helps with planning.
Section 301 tariffs on China are likely to remain in place for the foreseeable future. They have bipartisan support and have been upheld by courts. Section 232 tariffs on steel and aluminum are similarly durable. These programs are part of the ongoing cost structure for importers in affected product categories.
The IEEPA refund is a one-time recovery event. It’s based on tariffs that were collected unconstitutionally between February 2025 and February 2026. No future trade policy action — whether new tariff programs, trade agreements, or legislative changes — can retroactively affect the refund obligation for tariffs already ruled invalid by the Supreme Court.
This means you should treat IEEPA recovery as a distinct, time-limited opportunity that needs to be acted on within the applicable statute of limitations. Don’t conflate it with your ongoing tariff management strategy. They’re separate workstreams with different timelines and different stakes.
Why Precision Matters
Getting the IEEPA/non-IEEPA separation right isn’t just about accurate estimates — it affects the actual filing. If you file a protest claiming a refund that includes Section 301 duties, CBP will reject the protest or adjust it. If you file a PSC that incorrectly removes non-IEEPA duty lines, it creates processing complications.
Accurate data also matters for claim assignment. Institutional buyers who provide immediate capital price claims based on the verified IEEPA amount. Overstating the claim inflates expectations and creates friction during the validation process. Understating the claim means you’re leaving money on the table.
The complete guide to IEEPA tariff refunds walks through the full recovery process with this data foundation in place.
