Trump Vs. BRICS: The State Of The China- And Russia-backed Bloc In The Trump Era News18
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Time of India
18 minutes ago
- Time of India
Trump-Putin Summit In Danger? Russia Warns Of Ukraine's Deadly Provocation With Missiles, Drones
/ Aug 13, 2025, 07:01AM IST Russia warns of a major Ukrainian provocation ahead of the Trump-Putin summit. Moscow alleges Ukraine plans attacks to sabotage peace talks and blame Russia. The ministry fears the move will derail diplomacy and worsen the conflict.#russia #ukrainewar #ukraine #putin #zelensky #russiadefenceministy #lavrov #trump #usa
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Business Standard
18 minutes ago
- Business Standard
US July budget deficit up 20% Y-o-Y despite record Trump tariff income
The US budget deficit in July climbed 20 per cent this fiscal year compared to the last despite the US taking in record income from President Donald Trump's tariffs, according to Treasury Department data released Tuesday. The US saw a 273 per cent increase - or $21 billion - in customs revenue in July over the same period last year, the data showed. A Treasury official who spoke on the condition of anonymity to preview the data said overall increased spending is in part due to a mix of expenditures, including growing interest payments on the public debt and cost-of-living increases to Social Security payouts, among other costs. This comes as the federal government's gross national debt creeps up to the $37 trillion mark. Even as Trump talks about America becoming rich because of his import tax hikes, federal spending keeps outpacing the revenues collected by the government. That financial picture might change as companies exhaust their pre-tariff inventories, forcing them to import more goods and generate even more in tax revenues that could whittle away at the deficit without meaningfully reducing it as promised. If tariffs fail to deliver on Trump's pledge to improve the government's balance sheet, the American public could be faced with fewer job options, more inflationary pressures and higher interest rates on mortgages, auto loans and credit cards. The budget deficit is the annual gap between what the US government raises in taxes and what it spends, over time feeding into the overall national debt. While organisations like the Committee for a Responsible Federal Budget say that tariff income can be a stream of meaningful revenue - estimated to generate about $1.3 trillion over the course of President Trump's four-year term in office; some economists like Kent Smetters of the University of Pennsylvania's Penn Wharton Budget Model say tariffs are likely to result in only modest reductions in federal debt. In June, the Congressional Budget Office estimated that President Donald Trump's sweeping tariff plan would cut deficits by $2.8 trillion over a 10-year period while shrinking the economy, raising the inflation rate and reducing the purchasing power of households overall. But revenue estimates are also difficult to predict as the president has changed his tariff rates repeatedly and the taxes declared as part of an economic emergency are currently under appeal in a US court. A Treasury official did not respond to an Associated Press request for comment on when the US could begin to see tariff revenue start to put a dent in the deficit. Treasury Secretary Scott Bessent said last month on Fox Business Network's Mornings with Maria that the administration is laser-focused on bringing this deficit down. The Trump administration expects to make more trade deals with other nations, including China and other major economies. For instance, on Monday, Trump extended a trade truce with China for another 90 days, which preserves the 30 per cent tariffs he had imposed as a condition for negotiations. The previous deadline was set to expire at 12.01 am on Tuesday. Trump posted on his Truth Social platform that he signed the executive order for the extension, and that all other elements of the Agreement will remain the same. Beijing, at the same time, also announced the extension of the tariff pause, according to the Ministry of Commerce.
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Business Standard
18 minutes ago
- Business Standard
US national debt reaches record $37 trillion, Treasury Department reports
The US government's gross national debt has surpassed $37 trillion, a record number that highlights the accelerating debt on America's balance sheet and increased cost pressures on taxpayers. The $37 trillion update is found in the latest Treasury Department report issued Tuesday which logs the nation's daily finances. The national debt eclipsed $37 trillion years sooner than pre-pandemic projections. The Congressional Budget Office's January 2020 projections had gross federal debt eclipsing $37 trillion after fiscal year 2030. But the debt grew faster than expected because of a multi-year Covid-19 pandemic starting in 2020 that shut down much of the US economy, where the federal government borrowed heavily under then-President Donald Trump and former President Joe Biden to stabilise the national economy and support a recovery. And now, more government spending has been approved after Trump signed into law Republicans' tax cut and spending legislation earlier this year. The law set to add $4.1 trillion to the national debt over the next decade, according to Congressional Budget Office estimates. Chair and CEO of the Peter G. Peterson Foundation, Michael Peterson said in a statement that government borrowing puts upward pressure on interest rates, adding costs for everyone and reducing private sector investment. Within the federal budget, the debt crowds out important priorities and creates a damaging cycle of more borrowing, more interest costs, and even more borrowing. Wendy Edelberg, a senior fellow in Economic Studies at the Brookings Institution said Congress has a major role in setting in motion spending and revenue policy and the result of the Republicans' tax law "means that we're going to borrow a lot over the course of 2026, we're going to borrow a lot over the course of 2027, and it's just going to keep going." The Government Accountability Office outlines some of the impacts of rising government debt on Americans - including higher borrowing costs for things like mortgages and cars, lower wages from businesses having less money available to invest, and more expensive goods and services. Peterson points out how the trillion-dollar milestones are piling up at a rapid rate. The US hit $34 trillion in debt in January 2024, $35 trillion in July 2024 and $36 trillion in November 2024. We are now adding a trillion more to the national debt every 5 months," Peterson said. "That's more than twice as fast as the average rate over the last 25 years. The Joint Economic Committee estimates at the current average daily rate of growth an increase of another trillion dollars to the debt would be reached in approximately 173 days. Maya MacGuineas, president of the Committee for a Responsible Federal Budget said in a statement that hopefully this milestone is enough to wake up policymakers to the reality that we need to do something, and we need to do it quickly. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
