Trump’s Unfulfilled Tariff Threats of 2025
US President Donald Trump has made numerous tariff threats and trade promises this year. Many materialized in an avalanche of new taxes on imports that reversed decades of US economic policy, but others have not yet been met by the end of 2025.
Some of Trump’s unrealized threats reflect a broader approach by a president with a history of using exorbitant levies to pressure other countries into signing new trade deals, imposing retaliatory measures on them or even punishing his political critics. Simultaneously occurring, thay came as a growing list of tariffs – from Trump’s punitive new taxes on imported metals to retaliatory levies against America’s most critically important trading partners, such as China – went into effect, throwing consumers and businesses around the world into uncertainty.
Here’s what Trump said when announcing some of his biggest (though not yet realized) tariff threats and promises this year, and what the current situation is.
External Tax Service
In his words:
– Trump, in a social media post on January 14: “For too long, we have relied on taxing our Great People through the Internal revenue Service (IRS)… We will begin collecting from those who profit from us through trade, and they will FINALLY begin to pay their fair share. January 20, 2025 will be the date of birth of the External Revenue Service.”
– Trump in his January 20 inaugural address: “We are establishing the Foreign Revenue Service to collect all tariffs, duties and revenues.There will be massive amounts of money (that) will flow into our Treasury, from foreign sources.”
What happened:
The External Tax Service has not yet been established as of the end of December. While management officials maintained their insistence on plans to launch the External Revenue Service during Trump’s first months back in office, the entity does not yet exist.
200% tariff on European wine, champagne and spirits
In his words:
– Trump, in a social media post on March 13: “The European Union, one of the most hostile and abusive tax and tariff authorities in the world, which was created for the sole purpose of taking advantage of the United States, has just imposed a 50% tariff on whiskey. If this tariff is not removed immediately,the United States will soon impose a 200% tariff on all WINES,CHAMPAGNE AND ALCOHOLIC PRODUCTS FROM FRANCE AND OTHER COUNTRIES REPRESENTED BY THE EU.”
What happened:
The European union’s planned tax on American whiskey – unveiled as part of a broader retaliation in response to Trump’s new tariffs on steel and aluminum – was suspended. Consequently, the threatened 200% tariff on European wine, champagne, and spirits was never implemented.