Trump tariffs could gross $800 billion in the next decade, CBO head says—but that doesn’t account for the backlash

CBO director speaking (Credit: Photo by Bonnie Cash)

• A recent CBO estimate finds that the tariffs could generate $800 billion over the next 10 years, but that doesn’t take into account all the many other effects they could have on the dynamic U.S. economy. Tariffs could lead to price increases, retaliation from other countries, and hamper the Fed’s plans to cut interest rates. All of which means any increase in government revenue would come at a cost that may not be worth it. 

President Donald Trump issued a fresh round of tariffs on Wednesday as he continues his signature trade policy.