âť“WHAT HAPPENED: President Donald J. Trump announced that the U.S. trade deficit has decreased by 78 percent due to tariffs.
👤WHO WAS INVOLVED: President Trump, the United States Supreme Court, and the House of Representatives.
đź“ŤWHEN & WHERE: Trump posted the announcement on Truth Social on Wednesday, February 18, 2026.
đź’¬KEY QUOTE: “The United States trade deficit has been reduced by 78 percent because of the tariffs being charged to other companies and countries. It will go into positive territory during this year, for the first time in many decades. Thank you for your attention to this matter!” — Donald Trump
🎯IMPACT: Trump’s announcement on the significant drop in the trade deficit comes amid an anti-tariff revolt in Congress and a pending Supreme Court ruling on the constitutionality of his imposition of tariffs.
President Donald J. Trump revealed late Wednesday that his tariff policies have reduced the United States trade deficit by 78 percent, and that the deficit is expected to turn into a positive balance at some point this year. Should the trade deficit turn positive, it would be the first time the United States has posted a trade surplus in decades.
“The United States trade deficit has been reduced by 78 percent because of the tariffs being charged to other companies and countries. It will go into positive territory during this year, for the first time in many decades. Thank you for your attention to this matter!” Trump wrote in a post on Truth Social.
Trump’s tariff policies have been thrust back into the news in recent days, with the House of Representatives voting late last week—in a revolt against the lower chamber’s Republican leadership—to undo certain tariffs on Canada. Notably, six Republican lawmakers joined Democrats in supporting the resolution.
Even more important is a looming United States Supreme Court decision that could lift a large swath of tariffs imposed by the President. The high court could rule as early as Friday on whether Trump’s use of the International Emergency Economic Powers Act (IEEPA) to impose tariffs on dozens of countries is unlawful. The National Pulse previously reported that an adverse ruling for the Trump administration could result in the federal government owing businesses upwards of $168 billion.
Data released last December showed the trade deficit fell sharply just months prior, declining 10.9 percent to $52.8 billion. Data from October 2025 shows the U.S. trade deficit fell to $29.4 billion, marking a 39 percent decline and the lowest level since 2009.
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