Gov. Kathy Hochul is calling on the Trump administration to refund an estimated $13.5 billion in tariff payments to New Yorkers following a recent U.S. Supreme Court decision overturning the tariffs.
Citing estimates from the Yale Budget Lab, Hochul said the average New York household has paid about $1,751 in added costs since the tariffs were enacted last year, totaling an estimated $13.5 billion statewide.
“These senseless and illegal tariffs were just a tax on New York consumers, small businesses and farmers — and that’s why I’m demanding a full refund,” Hochul said in a statement. “I’ll never stop fighting for New Yorkers, and that means staying focused on putting more money back in your pockets — not ripping it away.”
What the Supreme Court ruling means
President Donald Trump vowed to pursue new tariffs after the U.S. Supreme Court struck down his sweeping emergency tariffs, calling the ruling “ridiculous” and criticizing justices who ruled against him.
The court found that Congress had not granted Trump authority under the 1977 International Emergency Economic Powers Act to impose the broad tariffs. Within hours of the decision, Trump announced new temporary 15% global tariffs under a different trade law and said he could use other tools, including import licensing, to restrict trade.
The ruling has created uncertainty in global markets. The European Union signaled it would delay moving forward with a trade agreement, while agricultural commodity prices, including soybeans, wheat and corn, declined following the decision.
Impact on families and businesses
According to state officials, the tariffs generated more than $130 billion nationwide, with an estimated 96% of that cost borne by American businesses and consumers. Hochul’s office said New York families have faced thousands of dollars in additional annual expenses due to higher prices on imported goods.
U.S. Sen. Kirsten Gillibrand echoed those concerns during a virtual press conference this week.
“Last week, the Supreme Court confirmed what Democrats have been saying for months — President Trump’s tariffs are illegal,” Gillibrand said. “I’m demanding that the administration follow the law, end these harmful tariffs once and for all, and refund small businesses and consumers.”
Gillibrand is urging the federal government to begin issuing refunds to small businesses and ensure the savings are passed on to consumers.
Farmers hit especially hard
Hochul and state lawmakers say New York farmers have been particularly affected. More than 80% of agrochemical imports and 70% of farm machinery imports come from countries that faced tariffs of 10% or more, according to the governor’s office. Farmers statewide have reported higher costs for fertilizer and equipment, with some seeing annual increases of up to $20,000. Milk exports have also fallen by 7%, officials said.
“New York farmers have been especially hard hit,” said Assemblymember Donna Lupardo. “With the increase in cost for essential supplies, farmers are struggling to make ends meet.”
State Sen. Michelle Hinchey said the tariffs have driven up costs for working families and businesses and that New Yorkers “deserve that money back in their pockets.”
Proposed relief for agriculture
As part of her 2026 State of the State agenda, Hochul has proposed $30 million in tariff relief to support specialty crop growers, livestock producers, dairy farmers and aquaculture operations. The proposal includes direct payments to impacted farmers, another round of the Dairy Modernization Grant Program and an extension of a refundable investment tax credit to help farms modernize operations.
Even with the Supreme Court ruling, Hochul said many farmers have already absorbed significant financial losses.
What happens next?
Gillibrand said she has opposed the tariffs since their inception and previously co-sponsored legislation aimed at refunding small businesses for duties paid. She also joined more than 200 members of Congress in filing a legal brief arguing the tariffs were unlawful.
Both Hochul and Gillibrand are now pressing the Trump administration to comply with the Supreme Court’s decision and issue refunds to New Yorkers.
Contributing: USA Today Network
This article originally appeared on Rochester Democrat and Chronicle: Will NY families get tariff refunds after court ruling?
Reporting by New York Connect Team, USA Today Network / Rochester Democrat and Chronicle
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