President Trump announces reciprocal tariffs on April 2 last year. [AFP Yonhap News]

U.S. Customs and Border Protection (CBP) announced that it will establish a new streamlined system within 45 days to refund reciprocal tariffs that the U.S. Supreme Court deemed illegal under the International Emergency Economic Powers Act (IEEPA).

Brandon Rod, CBP's Executive Director of Trade Policy and Programs, stated this in a document submitted to the U.S. Court of International Trade (USCIT) on the 6th (local time), adding, "We will require minimal (documentation) submission from importers (seeking tariff refunds)."

This decision follows the USCIT's Senior Judge Richard Eaton's ruling on the 4th, which determined that all importers who have paid tariffs under IEEPA are eligible for refunds due to the Supreme Court's invalidation.

Rod stated that as of the 4th, 330,000 importers had filed over 53 million entries, with a total tariff payment subject to refund amounting to $166 billion (approximately 246.45 trillion Korean won).

However, Rod indicated that completing the refunds under the current system would require an estimated 4.4 million person-hours (the amount of work one person does in one hour), and that a new procedural system to simplify and consolidate tariff and interest payments could be prepared within 45 days.

The USCIT is proceeding with hearings related to IEEPA refunds because the U.S. Supreme Court, on the 20th of last month, ruled that President Trump's imposition of so-called reciprocal tariffs based on the IEEPA, enacted in 1977, exceeded presidential authority and was illegal, but did not specify concrete refund procedures.