Tariff Revenues Expected to Stay Steady, Says Treasury Secretary
Treasury Secretary Scott Bessent appeared on “Sunday Morning Futures” with Maria Bartiromo, stating that tariff revenues are unlikely to drop despite a recent Supreme Court ruling regarding President Trump’s “Emancipation Day” tariffs.
The Supreme Court ruled 6-3 that Trump overstepped his authority under the International Emergency Economic Powers Act (IEEPA). Bartiromo brought up a claim from the Committee for a Responsible Federal Budget, suggesting that the lost revenue would increase the deficit. Bessent responded pointedly, suggesting that Maya McGuineas, the organization’s head, should feel embarrassed for what he perceived as irresponsible commentary, questioning their silence during the Biden administration’s budget decisions.
Bessent elaborated that the ruling was narrow, emphasizing that while the president can impose broader embargoes, collecting revenues using IEEPA is off the table. He noted, however, that tariff revenues from other measures, specifically Sections 232 and 301, will continue to flow in. IEEPA tariffs will transition to Section 122 soon, but Bessent reassured that total tariff revenue this year would remain stable, countering the forecasts from the so-called ‘Irresponsible Budget Committee.’
During a Rose Garden event on April 2, 2025, Trump laid out new import and reciprocal tariffs to correct “terrible imbalances” in international trade. He later updated the plan to pause some tariffs due to ongoing trade negotiations. Bessent mentioned that any contracts made would be honored.
He also indicated that starting in 1974, tariffs could be set at 15%, layered over existing articles like 232, 301, and 122, due to ongoing assessments by the Commerce Department and the U.S. Trade Representative, likely resulting in increased customs revenue.
Bessent expressed confidence in the customs agreements with foreign trading partners, saying they were supportive of these arrangements. He assured that the president remains committed to addressing the trade deficit and revitalizing U.S. manufacturing.
