According to the Treasury Department, President Trump’s tariffs resulted in an additional $7.6 billion in customs payments compared to what the U.S. collected due to higher import duties in April.
In that month, tariffs reached a total of $16 billion, which is an increase of around $9 billion from the previous year—well above the prior record of $9.6 billion set two years ago.
This surge was largely attributed to an increase in tariffs on Chinese products, reaching up to 145%, along with a minimum collection of 10% on goods from other nations.
The budget figures indicated that the U.S. collected approximately $500 million each day in tariffs throughout April. Just last month, Trump noted that this collection had been about $2 billion daily.
The uptick in April might also reflect earlier duties collected this year, such as those on steel, aluminum, and products from Mexico and Canada, as it usually takes about a month for new tariffs to start showing up in the records.
Overall, the U.S. recorded a budget surplus of $258 billion in April, a 23% increase from the previous year, signaling robust tax revenues during the tax season and significant collection of import duties, as per the Treasury’s report.
During the first seven months of the fiscal year, net tariffs amounted to $63 billion, compared to $48 billion during the same timeframe last year.
However, this new influx of revenue could potentially decline. The U.S. and China agreed over the weekend to temporarily relax some of their tariffs. The U.S. will reduce its 145% tariff to 30% over the next three months, while China’s tax on U.S. imports will drop from 125% to 10%.
The receipts from last month saw a 16% rise in individual non-equal tax payments, totaling $460 billion. Furthermore, individual rebates increased by 16% to $86 billion, contributing to total budget receipts that month of around $850 billion.
The Treasury reported a budget deficit of $1.05 trillion for the first seven months of fiscal year 2025, with both the annual receipts and record figures for April stemming from the previous year.
The deficit is expected to rise by 4% when factoring in the $85 billion calendar discrepancies from exaggerated spending noted in 2024, along with deferred tax revenues from California that contributed to receipts for the fiscal year.
Overall receipts showed a 5% unadjusted increase during the fiscal year, with individual payroll tax withholding climbing by 6% to $2.145 trillion, which constitutes the bulk of total budget receipts.
In contrast, dated spending for the fiscal year saw a 9% rise, reaching $658 billion, largely due to escalating costs in Medicare and Medicaid programs for seniors and low-income individuals, which also experienced increased enrollment and service expenses.
Expenditures for the Social Security Retirement Program increased by 9% year-over-year, amounting to $945 billion, while Treasury payments for debt interest rose by 10% from the previous year to $684 billion.
The average interest rate for the month was recorded at 3.29%, slightly higher by six basis points from a year ago, but remaining stable over the last five months.
With post wire
