In March 2026, Dame Products became one of the first consumer brands in any category to proactively refund tariff-related surcharges to customers after the Supreme Court struck down emergency tariffs President Trump had imposed under the International Emergency Economic Powers Act (IEEPA). The company is automatically processing approximately $10,000 in refunds across roughly 2,000 transactions where a $5 "Trump Tariff Surcharge" line item appeared at checkout during April–May 2025.

Why It Matters

The tariff saga highlights sex tech's unique vulnerability to trade policy. With the vast majority of pleasure devices manufactured in Shenzhen, the industry bore disproportionate costs from tariff escalations. Dame's refund move doubles as brand-building: in an industry where trust and transparency are competitive advantages, being first to return unlawful charges positions the company as a consumer-first player. The remaining 15% tariff and ongoing trade uncertainty mean the cost pressures haven't fully resolved — this is a chapter, not an epilogue.

CEO and co-founder Alexandra Fine, who announced the initiative on LinkedIn, framed it simply: "If somebody charges you something and it's unlawful, they should give you your money back." She noted the process was straightforward — "We have all the information. We can see every customer that had this surcharge tacked on, so we are just clicking a button and sending them their money back." Refunds are expected to process within 15 business days.

The surcharge was itself a form of protest and consumer education. Fine acknowledged it "really killed our conversion rate," but Dame absorbed far more than it passed along — paying roughly $100,000 in total tariff bills to U.S. Customs, of which approximately $70,000 was directly IEEPA-related. A separate 15% tariff from another trade law remains in effect.

Dame joins Cards Against Humanity and FedEx among brands that have pledged to return tariff-related costs, but it stands out for the speed and simplicity of its approach in a category — sex tech — where supply chains are almost entirely dependent on Chinese manufacturing.

Sources

Update — 2026-03-23

Initial entry — story first created.

Update — 2026-04-09

Two weeks after completing IEEPA refunds, Dame now faces a far larger tariff challenge. The Trump administration escalated China tariffs to 145% in early April — a separate legal authority from the IEEPA tariffs struck down by the Supreme Court, meaning no imminent court relief is expected. Dame has updated its pricing to reflect approximately a 50% tariff burden, explicitly telling customers it does not believe the 145% rate will hold, while simultaneously holding inventory in China and using its newly opened Chinese warehouse as a short-term cost buffer. The company joins Unbound (whose CEO pegged consumer price increases at ~47% under 145% tariffs) and Vibratex (implementing 10-40% surcharge tiers through July) in navigating what has become a sector-wide supply chain emergency. The IEEPA refund chapter closed cleanly; the 145% tariff chapter is just beginning.

New Sources