The Economic Times

Tariff refunds 2026: Will FedEx, UPS, Costco cut prices or keep savings? Why shoppers may see no price drop

Tariff refunds are turning into a $150+ billion story in 2026. But will consumer prices actually fall? Not so fast. Companies like FedEx and UPS may return some shipping-related charges. Thats because customers directly paid those tariffs. Retail giants like Costco work differently. They may not issue refunds at all. Instead, they could quietly adjust pricing over time. Many businesses absorbed tariff costs earlier. Now refunds help rebuild margins, not cut prices.