Davids Urges Federal Action as Kansas Small Businesses Squeezed Out of Tariff Refunds While Large Corporations Cash In

Image October 16, 2026 Press Release New study shows without reckless tariffs, inflation would have declined Today, Representative Sharice Davids demanded immediate action to ensure Kansas small businesses receive the tariff refunds they are owed. Following this year’s Supreme Court ruling overturning the president’s reckless tariffs, the federal government began processing billions of dollars in refunds. However, while major corporations get massive paydays, local Kansas mom-and-pop shops are facing bureaucratic hurdles that leave them behind. "Small businesses should not need a team of lawyers or customs specialists to recover money they are owed," wrote Davids in a letter to the Small Business Administration (SBA) and U.S. Customs and Border Protection (CBP) . "The businesses with the fewest resources should not face the greatest barriers to recovering their money while large corporations are better positioned to navigate the system... I urge the administration to ensure that the refund process works for the small businesses that need this relief most." Data from the Center for American Progress highlights the stark disparity facing Kansas main streets: the average Kansas small business importer has recovered just $49,000 in refunds compared to the $140,000 they paid out in tariffs. Meanwhile, some of the nation’s largest corporations — which possess internal legal teams and outside specialists to navigate the complex application process — have secured refunds worth hundreds of millions of dollars. In her letter, Davids outlined how many small businesses were forced to absorb higher costs passed down by suppliers, yet remain ineligible or unable to navigate the current non-automatic refund process. She is calling on the SBA and CBP to create a realistic, streamlined, and accessible path for small businesses, including direct guidance and a simplified application process for small firms that have not yet applied. This action builds directly on Davids’ ongoing efforts to protect Kansas workers and small businesses from unfair trade practices. Davids previously supported the RELIEF Act , legislation designed to provide automatic, hassle-free tariff refunds to small businesses and hardworking families who bore the financial burden of reckless tariff policies. The administration’s reckless tariff policies have hit Kansas hard, driving up costs for families and threatening small businesses and farmers. Average American households will pay $2,500 more this year because of these policies. Local industries, including agriculture, manufacturing, and retail, have faced higher costs for imported goods, forcing some businesses to raise consumer prices, cut jobs, or close entirely. Read Davids’ full letter here or below Dear Administrator Loeffler and Commissioner Scott, I write to share my concerns about the impact of the Trump Administration’s trade war and tariff refund process on Kansas small businesses. Local small businesses have already paid the price of higher tariffs. Now, as the federal government works to return billions of dollars in tariffs that were collected, small businesses are at risk of being left behind. The Center for American Progress estimates the average Kansas small business importer has only received $49,000 in refunds, compared with the $140,000 paid in tariffs (as of August 2026).  At the same time, some of the nation’s largest corporations have received refunds worth hundreds of millions of dollars. Following the Supreme Court’s decision earlier this year overturning President Trump’s broad International Emergency Economic Powers Act tariffs, Customs and Border Protection (CBP) began processing refunds for eligible businesses. These refunds are not automatic. The Federal Reserve Bank of Atlanta found that larger firms are somewhat more likely to receive or seek refunds, relying on internal staff or outside firms to navigate the process. Kansas small businesses often lack the staff to navigate a complicated federal refund process. Some may also be ineligible to apply, even though they ultimately paid higher prices because of tariffs. For example, a tariff may be passed from an importer to a small business through a supplier, but the refund may go to the original importer — not the small business that absorbed the higher cost. Small businesses should not need a team of lawyers or customs specialists to recover money they are owed. I urge the Small Business Administration to work with CBP and other federal agencies to create a realistic, efficient, and accessible path for small businesses to receive the tariff refunds they are owed. This should include a straightforward process for businesses that have not yet applied, as well as clear guidance and assistance for small businesses navigating the process. The businesses with the fewest resources should not face the greatest barriers to recovering their money while large corporations are better positioned to navigate the system. I urge the administration to ensure that the refund process works for the small businesses that need this relief most. Sincerely, Issues : Jobs, Economy & Small Businesses