Costco is passing most of its recent tariff refunds back to shoppers through lower prices on everyday products, giving members a direct benefit from the money the company recovered.

The retailer received $184 million in tariff refunds during its fiscal fourth quarter, consisting of $174 million in refunded duties and $10 million in interest. Costco said the amount represents a little more than one-third of the total refunds it expects to receive.

CEO Ron Vachris said the company had already begun using the refunds to reduce prices during the second half of the quarter. The reductions covered products including produce, meat, beverages, home furnishings and hardware, with the company emphasizing everyday items that have a direct impact on members' shopping bills.

CFO Gary Millerchip said Costco intends to continue reinvesting the majority of the tariff refunds it receives into member value. He said the company is attempting to spread the savings across products where price reductions can have the greatest effect for shoppers.

Costco had previously said it would return recovered tariff costs to members through lower prices and other forms of value. The company has since begun receiving those refunds and has indicated that additional payments will continue to be reflected in pricing.

The move comes as Costco continues to attract consumers looking for value amid elevated prices. The company reported strong fourth-quarter sales, with U.S. comparable sales rising 11% year over year, while executives pointed to value-focused shopping as an important part of the retailer's performance.