WASHINGTON: The United States expects to collect US$50 billion or more in tariff revenues each month as higher levies on imports from dozens of countries take effect, Commerce Secretary Howard Lutnick said on Thursday (August 7).
The new figure represents a sharp increase from US$30 billion in monthly tariff income reported last month.
“And then you’re going to get the semiconductors, you’re going to get pharmaceuticals, you’re going to get all sorts of additional tariff money coming in,” Lutnick told Fox Business Network.
TARIFFS ON CHIPS AND PHARMA TO BE ANNOUNCED
US President Donald Trump’s latest wave of tariffs took effect on Thursday, raising the average import duty to its highest level in a century. Countries now face tariffs ranging from 10 to 50 per cent.
Trump on Wednesday also announced plans to impose a 100 per cent tariff on imported semiconductor chips unless companies commit to manufacturing in the US. Pharmaceutical imports will face a smaller initial tariff that could rise to 250 per cent over time.
Details of these sector-specific tariffs are expected in the coming weeks, pending the outcome of Commerce Department investigations into whether the imports pose national security risks.
“His objective is to get semiconductor manufacturing done here,” Lutnick said, predicting the effort could generate up to US$1 trillion in investment to strengthen domestic manufacturing.
