United States of America

US Trade Deficit Shrinks in June

Are Trump's tariffs successfully resetting trade or are they an arbitrary policy making deficits and prices worse?

Published 10 hours ago

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Above: Shipping containers at the Port of Long Beach in Long Beach, California on July 17. Image credit: Frederic J. Brown/AFP/Getty Images

The Spin

Anti-Trump narrative

Despite over a year of aggressive tariffs, the trade deficit is higher under Trump than any other president. Record deficits with Mexico, Vietnam and South Korea prove tariffs haven't fixed the structural imbalance. AI-driven import demand is making the problem even harder to solve, as the tariffs also make prices higher for everyday Americans. Trump's trade policy is arbitrary and counter-productive.

Reuters The Hill

Pro-Trump narrative

The deficit is an indictment of the trade order tariffs are dismantling, not of the tariffs themselves. Nearly half the year's total was front-loaded into Q1 alone — before most tariffs kicked in — as companies rushed imports ahead of them. The goods deficit with China fell 32%, while the Iran shock adds another confound. The policy is working and the baseline is being reset.

Coalition For A Prosperous America Daily Sabah