For the first time since Trump's tariffs rollout, import tax revenue has fallen, threatening his lofty plans to slash the $38 trillion national debt | Fortune

"Tariff revenue fell month-over-month for the first time since President Donald Trump imposed his vast import taxes in April, fresh government data shows. According to the Treasury Department's monthly statement released on Wednesday, the government collected $30.75 billion in customs duties in November, down from $31.35 billion collected in October. In April, following the announcement of sweeping "Liberation Day" levies, tariff revenue catapulted to about $15.6 billion, and had been increasing every month, peaking in October."

"In addition to lower tariff rates, import volumes have weakened, meaning there are fewer items to tax. U.S. container imports fell 7.5% year over year in October and another 7.8% in November due to waning demand for Chinese exports, according to data released this week from supply chain software company Descartes Systems Group. It followed a surge in imports earlier this year as companies tried to get ahead on shipments before duties went into place."

"But as Trump contends with growing negative sentiment on how he is navigating the economy, his bid to lower tariffs to increase affordability could threaten his moonshot plans to use tariff revenue for other priorities. Chief among the president's myriad proposed uses for income from the tariffs is to slash the country's mounting national debt, which crossed the $38 trillion threshold in October."

Tariff collections declined month-over-month in November to $30.75 billion from $31.35 billion in October, marking the first drop since import taxes began in April. Tariff receipts had surged after the April levies, rising each month and peaking in October. The decline reflects reduced tariff rates, rollbacks on groceries like bananas and coffee, and trade deals that lowered duties. Import volumes weakened, with U.S. container imports falling 7.5% year-over-year in October and 7.8% in November amid waning demand for Chinese exports. Lower collections threaten plans to use tariff income for priorities such as reducing the national debt, which topped $38 trillion.

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