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Michigan Governor Signs Executive Directive to Help Businesses Seek Tariff Refunds After Supreme Court Ruling

Governor Whitmer signs executive directive to help Michigan businesses receive refunds for tariffs ruled unconstitutional by Supreme Court, requiring state agencies to evaluate impacts and assist businesses in seeking refunds.

Michigan Capitol|April 5, 2026|4 sources cited

Governor Whitmer Issues New Directive as Michigan Businesses Await Refund Process

LANSING, Mich. — Governor Gretchen Whitmer signed an executive directive on Thursday, April 2, 2026, to help Michigan businesses and consumers receive refunds for tariffs they paid under President Donald Trump's policy that the U.S. Supreme Court recently ruled was unconstitutional.

The directive, signed on the one-year anniversary of "Liberation Day," requires state departments and agencies to submit reports evaluating the ongoing impacts of tariffs on Michigan industries and consumers. It also directs state agencies to use available channels to ensure registered businesses and employers know how to seek refunds under the process the federal government is developing.

Supreme Court Ruling Opens Door for Refunds

The U.S. Supreme Court ruled that Trump's tariffs, enacted under the International Emergency Economic Powers Act, were unconstitutional. Following that decision, the U.S. Court of International Trade ruled that the federal government must issue refunds for tariffs.

In their most recent update to the court, the U.S. Customs and Border Protection Agency reported that they were between 60% and 85% complete with creating a streamlined process for refund claims. The federal government has promised a streamlined process within 45 days, but the timeline remains uncertain.

"The president's tariffs have jacked up costs, and Michiganders have been paying the price," Governor 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. This executive directive will show us the damage from these irresponsible tariffs and help get refunds back to Michigan businesses."

Michigan Industries Hit Hard

According to a recent analysis, the tariffs cost U.S. automakers $35 billion last year alone. Tariffs are estimated to have cost working families $1,000 per year on average.

The governor's office notes that Michigan's industries have been particularly hard hit. In July 2025, Governor Whitmer signed Executive Directive 2025-5 to begin assessing the impacts of tariffs across Michigan industries. The previous reports found:

  • Farmers and families — MDARD noted sharp declines in agricultural exports: wheat down 89%, cherries down 62%, apples down 58%, and soybeans down 46%. At the same time, prices for spices increased 50%, food packaging rose 12%, and overall food prices climbed 3.6% at the store level.
  • Homebuilders and homebuyers — MSHDA tracked a nationwide increase of up to $4 billion on materials necessary for home construction, putting additional strain on already stretched housing markets.
  • Auto manufacturers — The industry faced significant costs from both direct tariffs and retaliatory measures, with supply chain disruptions adding to the burden.

Small Businesses Welcome Support

Brian Calley, president and CEO of the Small Business Association of Michigan, said the directive would be welcomed by businesses that cannot afford legal counsel to navigate the bureaucracy.

"I think that's the most important thing that could be provided for small businesses, in particular, that will be navigating a system that literally doesn't exist right now," Calley told Michigan Public Radio. "There's so many complex aspects to this."

Economic Concerns Remain

Economist Charles Ballard noted there are still questions about how the refund decision will be applied and who might benefit. "I think there probably will be some refunds," Ballard said. "To the extent to which those trickle back to consumers, I don't think we're sure about that, especially since there already so many other inflationary pressures right now, especially in the oil markets."

Sandy Baruha, president and CEO of the Detroit Regional Chamber, cautioned against assuming refunds would arrive soon or be comprehensive. "I would not buy things on credit based on the supposed promise of reimbursement checks coming," Baruha said. "I think he's moving from one avenue to another and he's in the process of doing that right now."

Broader Economic Context

The pain from increased costs from tariffs has not been offset by economic gains. U.S. 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 two decades.

Governor Whitmer emphasized that her administration is working hard to lower costs on housing, health care, and education. "Whether it's making it easier to get your refund or working to lower everyday costs, we've got your back," the governor said.

Ongoing State Agency Work

The Michigan State Police and Emergency Management and Homeland Security Division recently announced the opening of the Federal Emergency Management Agency's Building Resilient Infrastructure and Communities (BRIC) grant program for fiscal year 2025, following a federal court order requiring the restoration of the congressionally mandated program.

Col. James F. Grady II, director of the Michigan State Police and state director of Emergency Management and Homeland Security, said BRIC funding provides communities the opportunity to take proactive steps to reduce risk before disaster strikes. "By investing in infrastructure and mitigation now, we help protect lives, safeguard critical services and ensure Michigan communities grow stronger and more resilient for the future."

What's Next

The state is now working to gather comprehensive data on tariff impacts across Michigan industries. Governor Whitmer's office continues to call on Congress to establish strategic trade policy that keeps costs down and maintains economic stability.

As the federal government develops its refund process, the state will track progress and work to ensure Michigan businesses have the information they need to navigate the system. The directive establishes a framework for ongoing assessment and support as the refund process unfolds.

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