Record-breaking July tariff earnings: $150 billion collected in 2025 thus far
In a recent interview on 'Mornings with Maria', Jim DeMare, the Global Markets President at Bank of America, discussed the success of the global markets, despite initial tariff uncertainty. This success is evident in the latest figures, which show that the U.S. collected a staggering $27.7 billion in customs duties in July alone, marking the highest monthly total this year.
These figures surpass June's record of $27 billion and have already exceeded the $16.3 billion collected in April. In fact, tariff revenues have climbed to a record $150 billion so far this year.
The data used to determine these customs duties is based on figures through July 25, according to the Treasury Department's "Customs and Certain Excise Taxes" data. The surge in tariff revenues comes as President Donald Trump enters the final days before his global trade deadline.
The increase in tariff revenues indicates that U.S. businesses are paying higher import taxes to the federal government. This could potentially lead to higher prices for American consumers, as the economic burden of tariffs may be passed on to them.
The trade deal with the European Union, America's largest trading partner, was announced just days ago. This comes after Trump announced a separate agreement with Japan earlier. However, the tariffs implemented under President Trump's administration have disrupted trade relationships and created economic uncertainty for several countries.
For instance, India faced a 25% tariff on all exports to the U.S. intended to pressure India to reduce its imports of Russian crude oil. This tariff, along with others, increased total tariffs on Indian goods to around 50%, impacting India's energy imports and trading sovereignty. Similarly, Brazil was subject to a 50% tariff on coffee exports to the U.S., influencing global coffee prices and supply chains.
Treasury Secretary Scott Bessent has predicted that tariffs may generate over $300 billion in revenue for the federal government. The record-breaking tariff revenues suggest that Bessent's prediction might not be far off.
As the global trade landscape continues to evolve, it will be interesting to see how these tariff revenues develop in the coming months.
