When the next recession hits, whoever is president will face intense pressure to cut tariffs, so don’t rely on them for revenue, top economist says

(Credit: Kent Nishimura—Bloomberg/Getty Images)

• President Donald Trump’s tariffs are generating revenue for the federal government at an annual rate of about $300 billion. While that sounds like a promising source of funding, tariffs went into effect with the stroke of a pen, and they can go away with one, too. And in the next recession, there will be calls for tariff relief to help consumers, Moody’s Analytics chief economist Mark Zandi said.

The federal government is on pace to reap a significant amount of revenue from President Donald Trump’s tariffs, but they may not be a reliable source of funding, especially in a recession, according to Moody’s Analytics chief economist Mark Zandi.