Michigan Governor Signs Executive Directive to Help Businesses Access Tariff Refunds
Michigan Governor Gretchen Whitmer signs executive directive to help businesses access tariff refunds after Supreme Court ruling strikes down Trump tariffs. State agencies ordered to report on economic impact.
On the one-year anniversary of what Governor Gretchen Whitmer called "Liberation Day," the governor signed an executive directive to help Michigan businesses and employers recover refunds for tariffs imposed under President Donald Trump's policy.
The U.S. Supreme Court ruled in February that the tariffs, enacted under the International Emergency Economic Powers Act, were unconstitutional. Now, the state is working to assess the impact and help businesses get their money back.
"The president's tariffs have jacked up costs, and Michiganders have been paying the price," Whitmer said in a statement. "Now that the Supreme Court has ruled that these tariffs are illegal, it's time for Michiganders to get their money back."
State Agencies Ordered to Report
The executive directive instructs four state departments to submit reports illustrating how tariffs have impacted Michigan industries and consumers. These departments include:
- Michigan Department of Agriculture and Rural Development (MDARD)
- Michigan State Housing Development Authority (MSHDA)
- Michigan Department of Treasury
- Michigan Department of Health and Human Services
The state is also directing departments to ensure businesses and employers understand how to seek refunds through the federal process being developed.
Businesses Hit Hard
The pain of increased costs from tariffs has not been offset by any of the promised economic gain. A recent survey from the Michigan Retailers Association (MRA) found nearly 75% of Michigan retailers reported a negative or strongly negative impact from tariffs since April 2025.
More than half of Michigan retailers, 56.1%, said uncertainty surrounding tariffs has affected their businesses, in addition to the tariffs themselves.
"Changing item pricing, changing inventory or changes to their suppliers," said MRA Vice President of Communications Vic Vega. "Other members have also shared making changes to the business processes or delaying pre-planned projects, things like maintenance or upgrades to their business, technology advancements."
Auto Industry Takes Big Hit
The auto industry alone has suffered significantly. Glenn Stevens Jr., executive director of MichAuto, said the industry has lost about $35 billion overall due to tariffs.
"In the auto industry alone, probably about $35 billion overall," Stevens said. "That's caused a lot of problems for companies."
Wayne Fu, associate professor of Decision Science at the University of Michigan-Dearborn, said the consumer has felt it, but the real victims have been small businesses.
"Although there's no tangible summary yet, but we see some damage, so we need to collect in the data," Fu said.
Refund Process Still Developing
Even if refunds are coming, businesses may be waiting months before they see any relief. To Stevens' knowledge, the portal where people can apply for refunds is not yet up. Once it is up, the process will take a minimum of 45 days.
"Right now, to my knowledge, the portal is not even up yet where people can apply for that, and once it is up, it will take a minimum of 45 days," Stevens said.
Agriculture Sector Hit Hard
MDARD data shows Michigan farmers have been hit particularly hard. Agricultural exports saw sharp declines:
- Wheat: 89% decline
- Cherries: 62% decline
- Apples: 58% decline
- Soybeans: 46% decline
At the same time, prices for essential items have increased:
- Spices: +50%
- Food packaging: +12%
- Food: +3.6%
Consumer Impact
Tariffs are estimated to have cost working families $1,000 per year. As tariffs raise prices on everyday products, Governor Whitmer is working hard to lower costs on housing, health care, and education.
Looking Ahead
In July 2025, Whitmer signed Executive Directive 2025-5 to begin assessing the impacts of tariffs across Michigan industries and examine how increased costs are passed on to consumers. The reports from that directive will inform the current assessment.
State officials say more details on how businesses can apply for refunds are expected in the coming months.
"The pain of these increased costs from tariffs has not been offset by any of the promised economic gain," Whitmer's office stated. "US GDP grew at a slower rate in 2025 than in preceding years, and companies added fewer jobs in 2025 than at any point in the last 20 years."
The U.S. Customs and Border Protection Agency reported they were between 60% and 85% complete with creating a streamlined process for refund claims.
Sources
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