New York Governor Kathy Hochul has intensified pressure on the U.S. administration to refund $13.5 billion in tariffs following a landmark Supreme Court decision that struck down former President Donald Trump's controversial trade policies. This development comes as businesses and state leaders nationwide seek financial relief from what they call 'economic distortions' caused by the measures.
According to Yale Budget Lab estimates, New York households bore an average $1,751 burden from tariffs since their enactment in 2025, with statewide losses reaching $13.5 billion. 'These tariffs functioned as regressive taxes on everyday Americans,' Hochul stated Tuesday, emphasizing the need for immediate refunds to consumers and businesses.
The movement gained momentum last week when Illinois Governor JB Pritzker and California's Gavin Newsom joined the call for reimbursement. Over 1,000 companies – including FedEx and Puma – have filed lawsuits seeking compensation, with Penn Wharton Budget Model analysts estimating $175 billion in potentially refundable tariff payments.
The National Retail Federation welcomed the Supreme Court's decision as a catalyst for economic recovery: 'Refunding these payments will enable critical reinvestment in operations and workforce development,' the organization noted. Federal Reserve Bank of New York research confirms U.S. entities absorbed nearly 90% of tariff costs, contradicting initial claims that foreign exporters would shoulder the burden.
Legal experts anticipate complex proceedings as lower courts implement the Supreme Court ruling, with outcomes likely to influence future trade policy frameworks.
