Trump Considers Tariff Revenue for American Rebates

President Donald Trump mentioned on Friday that he is contemplating the use of tariff revenues to provide rebate checks to Americans.

In June, the US government posted a budget surplus of $27 billion, largely attributed to record tariff revenues. When asked by reporters at the White House about the possibility of American rebates stemming from these tariffs, Trump indicated that his administration’s main focus has been on paying down debts, though he acknowledged that small rebates could be an option for certain Americans.

“We’re actually thinking about it. There’s a lot of money coming in,” Trump stated. “We’re considering rebates a bit, but our priority is to pay off the debt. But yes, we’re thinking about rebates.” He elaborated that the idea is appealing because of the substantial revenue generated from tariffs, suggesting that a modest rebate for individuals at particular income levels could be beneficial.

Earlier this year, Trump introduced “liberation day” tariffs for numerous countries on April 2, but shortly afterward paused most of them for 90 days, reducing the majority to a baseline rate of 10%. After this suspension concluded, he communicated the updated tariff rates to several nations.

During a Cabinet meeting on July 8, Treasury Secretary Scott Bescent projected that tariff revenues might reach $300 billion by the end of 2025.

Trump has consistently defended tariffs as a means to adjust trade dynamics and bolster revenue. Additionally, he announced a new trade agreement between Japan and the Philippines, describing it as “probably the biggest deal ever,” noting that Japan would implement a 15% mutual tariff on imports from the US.