Trump Tariffs Work: Trade Deficit Plummets to Five-Year Low

Whitehouse.gov ^ | December 11, 2025 | The Whitehouse

[SoConPubbie]

The trade deficit has narrowed to its smallest since mid-2020, down more than 35% over last year — and more proof that President Donald J. Trump’s America First trade agenda is working.

Here’s what you need to know:

• U.S. exports are up 6% over last year — rising to their second-highest value on record — while Inflation-adjusted exports of consumer goods are the largest ever.

• The seasonally adjusted trade deficit with China has narrowed to its second-smallest since 2009.

• In the third quarter of 2025, real exports grew by a 4.1% annual rate and imports fell by around 5% — adding about 1% to real GDP growth.

• As President Trump delivers better terms for American workers, farmers, and manufacturers, November’s deficit was cut by more than half compared to the same month last year, fueled by soaring tariff revenues.

President Trump is delivering on his commitment to level the playing field after decades of weak trade policies allowed foreign countries to flood our markets with their goods while shutting their own markets to our producers.

• Since announcing his historic trade agenda in April, President Trump’s use of tariffs has given him unprecedented leverage to secure new and improved trade deals with major U.S. trading partners covering more than half of global GDP — including the United Kingdom, European Union, Japan, China, Republic of Korea, Indonesia, Malaysia, Thailand, Vietnam, Philippines, Cambodia, El Salvador, Ecuador, Argentina, Guatemala, Switzerland, and Liechtenstein.

• As President Trump pursues his bold commitment to an America First trade agenda, scores of companies have announced trillions of dollars in new investment as they onshore workers from foreign countries and create tens of thousands of new American jobs — positioning the U.S. as the dominant player for the jobs of the future.

[aimhigh]

I’m a bit surprised they didn’t include a graph.

[RKV]

Love it. Thanks for posting.

[Sacajaweau]

I think we’re playing with a yo-yo still. Have to wait till things are actually moving.

[vikingd00d]

A 5 year low... so basically the lowest deficit since the last time Trump was president.

[VRW Conspirator]

NOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO!

[Capn Hayek]

I recognize this will be unpopular to say, but I really don’t care because it’s true, your fee-fees don’t matter, and just because the modern GOP has decided to become traditional leftists is no reason I’m under any obligation to go along with the lemmings...

But - people (including many here) are SMH ignorant and using emotion rather than intelligence when it comes to “trade balance”.

Over literally *centuries* — covering multiple economic systems (go ahead and look it up - capitalism, mercantilism, socialism, et al) — countries succeeding run trade deficits BY DESIGN/OPTIMALLY; countries running trade surpluses are piss-poor hellholes who can’t afford to buy anything.

Once upon a time, this was well understood and appreciated by ACTUAL conservatives. REAL conservatives were intellectually capable of reviewing centuries of data and understanding that striving towards “trade surplus” was a hallmark of Soviet thinking. “Protect the workers of the world and the proletariat from the rapacious capitalists and petty bourgeoisie that were stealing the fruits of labor!”.

Go ahead - read your history... Romania under Ceaușescu, the Soviets under *everyone*, Cambodia under Pol Pot, Mao’s China.... They’re all perfectly aligned with the stupid “populist” views now all the rage on “trade”.

Addled people - like communists - read “deficit” and “oh my, that must be bad! The capitalists are stealing the fruits of labor!”

The reality is the opposite.

At a national, composite level — successful, wealthy countries *should* run trade deficits. That’s just simple economics: Rich countries buy stuff, poor countries sell stuff.

But whatever. I’ve given up. I’m a globohomo. An elitist. A RINO.

Good luck with your stupid drive to turn the greatest economy in history into Vietnam.

[spintreebob]

Well said. You are not ignorant.

“A rising tide lifts all boats” was said by a wise man.