PG · 10-K · 2026A · Full report

U.S. Tariffs Impact

PROCTER & GAMBLE Co · 2026-08-04 · Importance 47 · Surprise 60

On February 20, 2026, the U.S. Supreme Court ruled that tariffs imposed under the International Emergency Economic Powers Act were invalid. P&G had previously paid approximately $200 million in IEEPA tariffs that may be recoverable. During the three-month period ended June 30, 2026, the Company recognized recovery of half of that amount in its Consolidated Financial Statements, while the net tariff impact reduced gross margin by 30 basis points.

Key facts

• On February 20, 2026, the U.S. Supreme Court ruled that the tariffs imposed under the IEEPA were invalid and the Company previously paid approximately $200 million in IEEPA tariffs that may be recoverable. source
• During the three-month period ended June 30, 2026, the Company recognized recovery of half of the approximately $200 million paid in IEEPA tariffs in its Consolidated Financial Statements. source