Item went missing in transit. Buyer asked to return item.

I'm a bit lost on what to do in this case. My buyer received my package, but the box had been tampered with in transit and the item was no longer inside the box. He got in touch straight away and provided photos and reported it to ebay. I responed to eBay to explain the situation. eBay have now asked the buyer to return the item (there is no item for him to return). Which makes little sense.

Is he supposed to return the empty box? It say's I'll have to refund him when he does this, but that seems totally unfair as I won't be getting anything back.

Just don't know what to do as neither of us seem to have any options open to us that make sense. We used Simple Delivery by the way, so everything was tracked.