Is There Genius Behind Trump's Tariff Strategy?

U.S. Customs revenue skyrocketed in June, reaching $113 billion, the highest record in a fiscal year. This condition aligns with President Donald Trump's policy of raising import tariffs.

The Treasury Department reported that this situation led the world's largest economy to generate a surprising budget surplus of $27 billion that month.

Data recorded that tariffs started to become a significant source of revenue for the federal government. Customs duties in June reached a new record, quadrupling to $27.2 billion gross and $26.6 billion net after refunds.

U.S. Treasury Secretary Scott Bessent stated on X that the results show the U.S. is reaping the benefits from Trump's tariff agenda. In a span of four months, tariffs as part of federal revenue have more than doubled to around 5% from about 2% previously.

"As President Trump works tirelessly to reclaim our nation's economic sovereignty, today's Monthly Financial Report shows record customs duties, and without inflation!" said Bessent.

During the first nine months of fiscal year 2025, customs revenue reached a record of $113.3 billion gross and $108 billion net, nearly double the revenue of the previous year. For your information, the government’s fiscal year ends on September 30.

Tariffs have now evolved into the fourth largest source of revenue for the federal government, behind individual income tax withheld at $2.68 trillion for that fiscal year, non-withheld individual income tax at $965 billion, and corporate tax at $392 billion.

This condition is likely to strengthen Trump's view of tariffs as a lucrative source of revenue, while also serving as a tool to enforce non-trade foreign policy. $BNB #Binance