Billions of dollars in tariff refunds have begun flowing to some of the nation’s largest companies following a Supreme Court decision that invalidated a major portion of President Donald Trump’s tariff program.

More than 40 companies in the S&P 500 have reported approximately $9.6 billion in refunds in recent months, according to The Wall Street Journal. At least $2.1 billion has already been received in cash, with some payments arriving more quickly than businesses had anticipated.

Apple has reported nearly $2.2 billion in refunds, followed by Nike at $986 million, FedEx at about $800 million, Amazon at $640 million and General Motors at $500 million.

U.S. Customs and Border Protection had received more than 252,000 refund applications as of July 31 involving tariffs declared unlawful by the Supreme Court. The agency had accepted $128.7 billion in refund requests for processing, with about $100 billion sent to the Treasury Department for disbursement.

The refunds are also providing an earnings boost for some companies. Apple said tariff recoveries added 11 cents per share to its latest quarterly earnings. GE HealthCare received $107 million and expects another $38 million in refunds, with the refunds contributing 18 cents to its quarterly earnings per share.

However, refunds do not mean companies are escaping tariffs altogether. Caterpillar recorded $392 million in expected recoveries during its latest quarter but still anticipates paying about $2.2 billion in tariffs this year before recoveries are considered.

Some of the money could ultimately reach consumers. FedEx plans to distribute its approximately $800 million in refunds to shippers and consumers beginning this month. Costco has also indicated it intends to return some tariff refunds to customers, while Amazon plans refunds in limited cases where it can determine that tariff costs were directly passed along to buyers.

Source: WSJ