The U.S. government is focusing on 18 critical trading partners that make up roughly 95 percent of America’s trade deficit.
The United States is on track to potentially raise “well over $300 billion” in tariff income by the end of the year, Treasury Secretary Scott Bessent said during a July 8 White House Cabinet meeting.
“We have taken in about $100 billion in tariff income thus far this year,” Bessent said. “That’s with the major tariffs not having started till the second quarter.”
In April, the Trump administration announced a 10 percent tariff on all global imports. It came into effect in May. At the time, the White House said it expected the tariff to impact $3 trillion in goods imported by the United States annually.
In May, the government collected $22.17 billion in customs duties, up by almost 325 percent from $5.23 billion collected in May last year. In fiscal year 2025, till May, collections stand at $81.39 billion, higher by more than 65 percent from the $49.29 billion during the same period in 2024. The U.S. fiscal year 2025 began on Oct. 1, 2024, and ends on Sept. 30, 2025. Tariff calculation involves more than customs duties.
Bessent cited a June 4 report from the Congressional Budget Office (CBO), which estimates tariff collections over a 10-year period between 2025 and 2035 to be at $2.8 trillion.
“We don’t agree with CBO scoring,” he said, adding that the agency’s tariff collection estimate “is probably low.”
According to a July 7 Daily Treasury Statement, the government had so far collected $124 billion in customs duties this fiscal year.
In addition to the 10 percent universal tariffs, the government had also instituted reciprocal tariffs on several nations in April depending on the trade barriers they had with the United States.
President Donald Trump initially signed a 90-day pause blocking reciprocal tariffs from being implemented, with the pause set to be lifted on July 9. On Monday, he signed an executive order that extended the deadline to Aug. 1.
The president also issued separate letters to several nations, including Japan, South Korea, and Thailand, notifying them about individual tariffs that would be imposed on their nations following the Aug. 1 deadline.
Trump suggested that reciprocal tariffs, which range from 25 to 40 percent, could be lowered if nations open up their markets and bring down their trade barriers.
Once reciprocal tariffs come into effect, the government’s customs collections are expected to increase further.
“The big money will start coming in on Aug. 1st. I think it was made clear today by the letters that were sent out yesterday and today,” Trump said during the July 8 Cabinet meeting.
