Trump Nets $50 Billion Tariff Windfall as Trade Partners Hold Fire

President Donald Trump’s renewed trade offensive is yielding a windfall for the U.S. Treasury. Financial Times calculations show the administration has collected nearly $50 billion in extra customs duties since March, lifting total tariff income to a record $64 billion in the June quarter—$47 billion more than a year earlier. Washington currently applies a 10 percent global tariff, 50 percent levies on steel and aluminium and 25 percent on autos, with the White House signalling it could go higher if partners retaliate. The measures have pushed U.S. tariff rates to levels unseen since the 1930s. So far only China and Canada have struck back. Beijing’s counter-tariffs have raised its own customs revenue by just 1.9 percent year on year, after U.S. duties on Chinese goods briefly peaked at 145 percent in April before being reduced to 30 percent under a 90-day truce. Ottawa announced about C$155 billion in retaliatory duties earlier this year but has since eased its stance under U.S. pressure. Most other trading partners, including the European Union and Mexico, have opted to negotiate rather than escalate. Brussels has drafted counter-measures covering €72 billion of U.S. exports but has repeatedly postponed implementation, tying any decision to talks ahead of Trump’s 1 August deadline for new deals. Economists say the restraint reflects the United States’ outsized consumer market and fears of inflation from a broader tariff spiral. Capital Economics estimates a full-blown trade war with average reciprocal tariffs of 24 percent would shave 1.3 percent off global GDP over two years, compared with 0.3 percent if rates remain around 10 percent. Supply-chain consultants at Proxima add that multinational brands such as Apple, Adidas and Mercedes are spreading higher costs across markets, limiting the immediate impact on U.S. shoppers.