Tariff Ruling Opens $1.1 Trillion Deficit Gap

CBO Chief Says Replacement Duties Recover Less Than Half of Lost Revenue

Posted 4/28/26

The fiscal cost of the Supreme Court’s IEEPA tariff ruling is coming into sharper focus: CBO Director Phillip Swagel says the Court’s decision could add roughly $2 trillion to deficits over 10 years, while the Trump administration’s substitute tariff measures may recover only $800 billion to $900 billion—leaving a net deficit increase of about $1.1 trillion.

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