Treasury posts unexpected surplus in June as tariff receipts surge

CNBC ^ | June 11, 2025 | Jeff Cox

[lasereye]

The U.S. government posted a surplus in June as tariffs gave an extra bump to a sharp increase in receipts, the Treasury Department said Friday.

With government red ink swelling throughout the year, last month saw a surplus of just over $27 billion, following a $316 billion deficit in May.

That brought the fiscal year-to-date deficit to $1.34 trillion, up 5% from a year ago. However, with calendar adjustment, the deficit actually edged lower by 1%. There are three months left in the current fiscal year.

A 13% increase in receipts from the same month a year ago helped bridge the gap, with outlays down 7%. For the year, receipts are up 7% while spending has risen 6%.

The government last posted a June surplus in 2017, during President Donald Trump’s first term.

Increasing tariff collections are helping shore up the government finances.

Customs duties totaled about $27 billion for the month, up from $23 billion in May and 301% higher than June 2024. On an annual basis, tariff collections have totaled $113 billion, or 86% more than a year ago.

Trump levied across-the-board 10% tariffs on imports in April on top of other select duties. He also announced a menu of so-called reciprocal tariffs on various U.S. trading partners and has been in negotiations since.

The Treasury Department noted that the month benefited from calendar adjustments, without which the deficit would have been $70 billion.

Persistently high Treasury yields again posed a challenge for federal finances.

Net interest on the $36 trillion national debt totaled $84 billion in June, down slightly from May but still higher than any other category with the exception of Social Security.

Trump has been pushing the Federal Reserve to cut short-term rates to help with the financing burden of servicing federal debt.

[Maine Mariner]

Due in large part to the opening of the Erie Canal.
That “ditch” made New York city a major world port.

The commissioner of customs in NYC was arguably the second most powerful person in the US. Chester Arthur was a commissioner as was Theodore Roosevelt’s father.

[Sacajaweau]

New York City was a major port many years before the Erie Canal.

[1Old Pro]

Due in large part to the opening of the Erie Canal. That “ditch” made New York city a major world port.

200 years old this year.

[woodpusher]

https://fiscaldata.treasury.gov/datasets/debt-to-the-penny/debt-to-the-penny

In June 2025, the federal debt was reduced by about $3B dollars.

6/30/2025 $36,211,469,351,821.31
6/02/2025 $36,214,400,664,854.53

The federal debt started in July at $37.2T and as of 10 July stood at $37.6T. The debt was "reduced" by about negative $380B in 10 days.

7/10/2025 $36,595,101,611,079.13
7/09/2025 $36,600,645,372,974.92
7/08/2025 $36,625,815,401,249.79
7/07/2025 $36,582,313,190,019.76
7/03/2025 $36,215,869,297,299.75
7/02/2025 $36,213,797,741,182.40
7/01/2025 $36,214,482,241,911.14

[central_va]

I am with you.

[existentially_kuffer]

Media & their “unexpected”!

[Maine Mariner]

Yes 200 years old and the Canal retired the bonds used to finance the canal in just a few years. It changed the USA and dropped transportations of hauling grain etc. to NYC by 95%.

[microeconomist]

The Treasury showed a current account surplus (current receipts vs. expenditures) of $27 billion, but debt only went down by $3 billion. How can that be?

The answer is interest on the existing debt.