Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTFernanda TroncoThu, June 25, 2026 at 2:37 AM GMT+2 5 min readFor months, higher tariffs quietly worked their way into everyday shopping trips, adding costs that many retailers ultimately passed along to consumers.Now, one major warehouse club chain says some of that money is starting to move in the opposite direction.After receiving tariff-related relief tied to a recent court ruling, the company says it lowered prices in parts of its business instead of keeping the benefit entirely for itself.The move could pressure competitors to respond and give shoppers an early look at how tariff refunds may affect retail pricing.BJ's Wholesale Club lowers retail prices amid tariff refundsBJ's Wholesale Club (BJ) says it used tariff refunds to reduce retail prices and return value to customers who previously absorbed higher costs during the tariff hikes."As a result, we saw roughly half a point of deflation in our retail pricing, and our price gaps improved as we leaned into delivering meaningful savings for our members," said BJ's CEO Bob Eddy during the company's latest earnings call.This follows a series of legal and administrative developments tied to country-specific tariffs imposed during President Donald Trump's administration.In February 2026, the Supreme Court allowed a ruling to stand that determined certain country-specific tariffs issued under the International Emergency Economic Powers Act (IEEPA) exceeded the authority used to implement them. The decision ultimately led the Court of International Trade to order refunds for affected duty payments.Following the ruling, U.S. Customs and Border Protection (CBP) launched its Claims and Appeals Processing Environment (CAPE) portal to begin processing an estimated $166 billion in refunds owed to eligible importers.BJ's has not disclosed the total amount of refunds it expects to receive. However, executives said tariff refunds contributed approximately 50 basis points (0.5%) to quarterly merchandise margin performance, amounting to roughly $20 million.The company did not specify which product categories saw price reductions or whether those lower prices would continue beyond the current period.BJ's price investments continue to support growthEven as it invested in pricing, BJ's continued to post growth across key financial metrics.During the first quarter of fiscal 2026:Net sales increased 9.9% year over yearComparable club sales rose 6.3%Gross profit climbed to $1.03 billion, compared with $969.5 million a year earlierAt the same time, merchandise gross margin declined around 10 basis points (0.1%) compared with the prior year, which the company said was primarily driven by investments in pricing and partially offset by tariff refund benefits recognized during the quarter.Terms and Privacy PolicyEU DSA contactPrivacy & Cookie SettingsMore Info