US Wholesale Sector NAICS 42

Apr 21, 2026 - Tariff Refund Delays Weigh on Wholesale Liquidity

• The US wholesale sector is poised to see near-term but delayed cash flow relief as tariff refunds begin rolling out, according to a Modern Distribution Management report. US Customs and Border Protection will start processing International Emergency Economic Powers Act (IEEPA) -related refunds on April 20, with payments expected in 60–90 days, longer than earlier estimates of up to 45 days. The initial phase applies only to select entries, including those within a 90-day reliquidation window, limiting immediate impact. While the new Consolidated Administration and Processing of Entries (CAPE) system is designed to handle high claim volumes, the phased rollout and extended timelines suggest benefits will be gradual. Overall, the development supports liquidity but is unlikely to materially improve near-term operating conditions.
• According to the Global Port Tracker produced by the National Retail Federation and Hackett Associates, the US wholesale sector is facing mixed supply chain conditions, with tariffs and rising fuel costs creating cost pressures despite relatively stable operations. Import volumes at major ports totaled 1.95 million TEU in February (-7.5% month over month, -4.2% year over year), with March projected at 1.97 million TEU (-8.3% year over year). First-half 2026 imports are forecast at 12.3 million TEU, down 1.8% year over year, reflecting tariff-related headwinds. While Middle East disruptions have not significantly reduced volumes, they are driving higher global fuel costs, increasing shipping expenses and contributing to inflation. For wholesalers, this environment implies margin pressure and softer import activity, even as supply chain continuity remains intact.

• The rollback of Trump’s IEEPA tariffs, which represent an estimated $135 billion to $200 billion in additional duties paid by US importers, creates major implications for the wholesale industry, according to a report by SGB Media. While the Court of International Trade ordered broad refunds covering some 330,000 importers, the process is complex, requiring protests within 180 days for older entries and facing delays from appeals. New consumer class actions (including a new filing against Costco) introduce liability risk across wholesalers, distributors, and retailers that passed through costs. More than 2,000 companies, including Costco, are suing the government to recover the tariffs paid. A KPMG survey on how companies planned to handle refunds shows only 18% of firms plan full price rollbacks; most will reinvest in supply chains (14%) or inventory (13%). For wholesalers, this drives operational, legal, and pricing uncertainty.
• Modern Materials Handling’s 2026 survey signals cautious near-term spending but sustained long-term automation investment, which is critical for US wholesalers managing labor and e-commerce pressures. While 42% of firms are in “wait-and-see” mode and 24% are delaying investments, 28% still expect 2026 spending to rise. Longer term, 42% plan increased investment over 2–3 years. Automation adoption is accelerating: autonomous mobile robot/automatic guided vehicles usage rose to 16% (from 10%), with 27% evaluating deployment; industrial robot use reached 21% (from 13%). Firms are prioritizing warehouse management systems (21%), warehouse control systems (19%), and data capture (29%). Average spend jumped to $541K (from $402K). Automation is becoming essential to control costs, improve throughput, and compete as e-commerce fulfillment shifts toward DC-based models.