{"id":40202,"date":"2026-08-12T06:18:09","date_gmt":"2026-08-12T01:18:09","guid":{"rendered":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/?p=40202"},"modified":"2026-08-12T06:18:09","modified_gmt":"2026-08-12T01:18:09","slug":"trump-tariff-shortfall-helps-push-federal-deficit-200-billion-higher-than-expected","status":"publish","type":"post","link":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/?p=40202","title":{"rendered":"Trump Tariff Shortfall Helps Push Federal Deficit $200 Billion Higher Than Expected"},"content":{"rendered":"<p><script>\r\n  atOptions = {\r\n    'key' : '644b717812d811d6a1c1fc5b6ccd6fa6',\r\n    'format' : 'iframe',\r\n    'height' : 90,\r\n    'width' : 728,\r\n    'params' : {}\r\n  };\r\n<\/script>\r\n<script src=\"https:\/\/www.highperformanceformat.com\/644b717812d811d6a1c1fc5b6ccd6fa6\/invoke.js\"><\/script>\r\n<br \/>\n<\/p>\n<div id=\"attachment_5750140\" class=\"wp-caption alignnone\"><img decoding=\"async\" loading=\"lazy\" aria-describedby=\"caption-attachment-5750140\" class=\"wp-image-5750140 size-full\" src=\"https:\/\/am11.mediaite.com\/med\/cnt\/uploads\/2026\/08\/TRump-mortgage.jpg\" alt=\"Donald Trump\" width=\"1024\" height=\"682\" \/><\/p>\n<p id=\"caption-attachment-5750140\" class=\"wp-caption-text\">Jacquelyn Martin\/AP photo<\/p>\n<\/div>\n<p>President <strong>Donald Trump\u2019s<\/strong> tariffs are bringing in far less money than previously projected, helping push the expected federal deficit for fiscal 2026 up by $200 billion, according to a new projection from the Congressional Budget Office.<\/p>\n<p>In the agency&#8217;s <a href=\"https:\/\/www.cbo.gov\/system\/files\/2026-08\/61983-2026-07-MBR.pdf\">monthly budget review<\/a>, released on Monday, the CBO revealed it now expects the federal government to run a $2.1 trillion deficit in fiscal year 2026, up from the $1.9 trillion it <a href=\"https:\/\/www.mediaite.com\/opinion\/how-broken-is-the-media-just-look-at-the-coverage-of-trumps-exploding-debt-crisis\/\">projected<\/a> in February.<\/p>\n<p>A major factor behind the revision is weaker-than-anticipated tariff revenue following the Supreme Court\u2019s February <a href=\"https:\/\/www.mediaite.com\/media\/news\/breaking-supreme-court-rules-trump-tariffs-are-illegal\/\">decision<\/a> striking down tariffs Trump imposed under the International Emergency Economic Powers Act. Despite the administration imposing other <a href=\"https:\/\/www.mediaite.com\/media\/tv\/ms-nows-lisa-rubin-argues-trump-admin-will-use-other-mechanisms-to-keep-tariffs-in-place\/\">import taxes<\/a>, the CBO estimates tariff and customs duty collections will come in roughly $250 billion below its earlier expectations.<\/p>\n<p>The federal government has already returned a substantial portion of the tariff revenue it collected. As of July 31, U.S. Customs and Border Protection had given back around $100 billion of approximately $166 billion collected in tariff duties, according to a court filing <a href=\"https:\/\/thehill.com\/business\/6022755-cbo-fiscal-2026-deficit-200-billion-more\/\">cited<\/a> by <em>The Hill<\/em>.<\/p>\n<p>During just the first 10 months of fiscal 2026, the government ran a $1.8 trillion deficit, with revenues increasing $139 billion from the same period last year while outlays jumped $308 billion.<\/p>\n<p>Part of that spending increase resulted from payments scheduled for Aug. 1 being moved into July because the date fell on a weekend. Without that shift, though, the CBO said the deficit through July would have been $1.7 trillion, or $71 billion more than during the same period in fiscal 2025.<\/p>\n<p>Committee for a Responsible Federal Budget President <strong>Maya MacGuineas<\/strong> called the figures \u201castounding,&#8221; as noted by\u00a0<em>The Hill<\/em>, <a href=\"https:\/\/www.crfb.org\/press-releases\/cbo-estimates-18-trillion-deficit-first-10-months-fy-2026\">adding<\/a>, &#8220;We\u2019re on track to surpass $2 trillion in borrowing this fiscal year despite not being in a recession. That is not normal.&#8221;<\/p>\n<p>Rising spending on Social Security, Medicare and Medicaid accounted for roughly 86% of the yearly increase in outlays, while net interest payments on the public debt climbed another $117 billion.<\/p>\n<p>The post <a href=\"https:\/\/www.mediaite.com\/media\/news\/trump-tariff-shortfall-helps-push-federal-deficit-200-billion-higher-than-expected\/\">Trump Tariff Shortfall Helps Push Federal Deficit $200 Billion Higher Than Expected<\/a> first appeared on <a href=\"https:\/\/www.mediaite.com\">Mediaite<\/a>.<\/p>\n<script async=\"async\" data-cfasync=\"false\" src=\"https:\/\/pl30214220.effectivecpmnetwork.com\/9ab3d4df8a7e1a6171e16ddbf732cc19\/invoke.js\"><\/script>\r\n<div id=\"container-9ab3d4df8a7e1a6171e16ddbf732cc19\"><\/div>\r\n\n","protected":false},"excerpt":{"rendered":"<p>Jacquelyn Martin\/AP photo President Donald Trump\u2019s tariffs are bringing in far less money than previously projected, helping push the expected federal deficit for fiscal 2026 up by $200 billion, according to a new projection from the Congressional Budget Office. In the agency&#8217;s monthly budget review, released on Monday, the CBO revealed it now expects the&#8230;<\/p>\n","protected":false},"author":1,"featured_media":40203,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/am11.mediaite.com\/med\/cnt\/uploads\/2026\/08\/TRump-mortgage.jpg","fifu_image_alt":"","footnotes":""},"categories":[19],"tags":[],"class_list":["post-40202","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-newsweek-trending"],"brizy_media":[],"_links":{"self":[{"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/posts\/40202","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=40202"}],"version-history":[{"count":0,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/posts\/40202\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/media\/40203"}],"wp:attachment":[{"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=40202"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=40202"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=40202"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}