US Posts $27 Billion Budget Surplus in June Driven by Tariff Revenue Surge

The US government recorded a $27 billion budget surplus in June 2024, marking the first June surplus since 2017. This turnaround follows a $316 billion deficit in May, with tariff revenues—spearheaded by President Trump's aggressive trade policies—playing a pivotal role. Fiscal year-to-date deficits now stand at $1.34 trillion, just 1% lower than the previous year.

Federal receipts surged 13% year-over-year in June, while spending dropped 7%. Customs duties alone contributed $27 billion, a 301% spike from June 2023, reflecting the impact of Trump's 10% blanket tariffs enacted in April. Year-to-date tariff revenue totals $113 billion, up 86%.

The surplus highlights how trade policy is reshaping fiscal dynamics, even as debt servicing costs continue to climb. With three months remaining in the fiscal year, volatility in deficit figures remains likely as tariff negotiations unfold.