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Asos pursues $9m tariff refund from US authorities
The UK-based online fashion retailer Asos has initiated claims to recover £7 million ($9 million) in tariffs paid to the US during the first half of its financial year. The move follows a landmark Supreme Court decision in February that invalidated the Trump-era tariffs, triggering the largest repayment program in history.
Supreme Court ruling opens door for refunds
The US Supreme Court struck down the so-called "Liberation Day" tariffs in February, ruling that former President Donald Trump exceeded his authority in imposing them. The decision paved the way for businesses to reclaim duties paid under the now-defunct levies, with an online portal launching Monday to process claims.
Asos confirmed it had begun the refund process, though early reports from businesses varied. Some users described a seamless experience, while others encountered technical errors, including system overloads and error messages.
Potential windfall for thousands of businesses
Hundreds of thousands of companies could be eligible for refunds, with the US Court of International Trade ordering customs officials to reimburse over $160 billion (£121 billion) collected under the tariffs. The levies were imposed under the International Emergency Economic Powers Act (IEEPA).
By early April, more than 56,000 importers had already submitted claims through the portal, with their combined requests totaling $127 billion. US Customs and Border Protection stated that successful applicants should receive refunds-including applicable interest-within 60 to 90 days.
"The system is currently experiencing high volume. Please try again later."
Error message reported by CBS News
Asos reports narrower losses amid turnaround efforts
The tariff refund announcement coincided with Asos's financial update, which showed a reduction in losses as part of its ongoing turnaround strategy. The company reported a pre-tax loss of £137.9 million for the six months ending 1 March, down from £241.5 million in the same period a year earlier.
Once hailed as a "pandemic darling" for its surge in online sales during COVID-19 lockdowns, Asos has since faced challenges, including weakened consumer demand and intensified competition from low-cost rivals like Shein.
Supply chain and inflation pressures persist
Asos stated it had taken "proactive actions" to mitigate inflationary pressures and supply chain disruptions linked to the conflict in the Middle East. The company added that it continues to monitor developments closely.
While businesses stand to benefit from the tariff refunds, individual consumers-who bore the cost indirectly through higher prices-are not expected to receive compensation.
