Several months after the Supreme Court declared President Trump’s IEEPA tariffs illegal, some construction equipment manufacturers are getting refunds.
How Did We Get Here?
The Supreme Court ruled in February that Trump lacked the jurisdiction to implement the tariffs he announced at the beginning of 2025 through the International Emergency Economic Powers Act. Though the IEEPA does allow the president to “regulate …importation,” SCOTUS found the law does not authorize the president to impose tariffs, which the court characterized as “unbounded in scope, amount and duration.”
Trump originally implemented a 25% duty on most Canadian and Mexican imports and a 10% duty on most Chinese imports related to an “influx of illegal drugs” from those countries, as well as a variety of fluctuating tariffs on numerous countries to address trade deficits.
U.S. businesses have been able to file for IEEPA refunds with U.S. Customs and Border Protection since April. According to a report from NBC, roughly $20.6 billion in refunds have already been paid out.
Looking at the earnings reports of publicly traded OEMs reveals how intensely U.S. tariffs have impacted the construction industry. For example, Caterpillar estimated its incremental tariff costs in 2025 at $2.6 billion. Deere put that number at $600 million, and Kubota reported a $420 million negative impact on its 2025 operating profit due to U.S. tariffs.
Powered byThese OEMs are still facing consistent tariff pressure outside of IEEPA, though they recently got temporary relief thanks for reduced Section 232 tariffs on steel, aluminum and copper.
What OEMS are Getting Back
While many construction equipment manufacturers are privately owned and have not announced their IEEPA refund publicly — and some may decline to apply for a refund at all — several publicly traded companies have outlined their refunds in SEC filings.
Here’s which OEMs have disclosed their refund claims and how much they’re receiving, sourced from the most recent publicly available filings:
- John Deere — $272 million (filed and accepted)
- Manitowoc Company – $25 million (not yet received)
- Oshkosh Corp. (parent company of JLG) – $19.7 million (not yet received)
Caterpillar disclosed it had paid roughly $1 billion IEEPA tariff costs as of March 31, in its most recent earnings filing on May 6 but said, “Based on the current facts and circumstances, we [Caterpillar] have determined that recovery of any funds is not probable.”
Additionally, several pickup truck manufacturers have disclosed information regarding IEEPA tariff refunds:
- Ford — $1.3 billion (expects to receive this sum as of March 31)
- General Motors — $500 million (booked as a favorable adjustment in its most recent earnings but claims to have paid $2.5 billion-$3.5 billion)
- Stellantis (parent company of Ram) — $455 million (recorded as an IEEPA tariff cost adjustment)
