“Tariffs will replace income tax, will take burden off Americans”- Trump in key speech

During his annual State of the Union address, US President Donald Trump defended his extensive tariffs on foreign nations, stating that those who have exploited the US for years are now paying billions. The Republican leader claimed these tariffs will replace the current income tax system, a point he made when he began his second term. Trump said, “I believe that over time, tariffs paid by foreign countries will replace the modern income tax, relieving a significant financial burden from the people I care about.” Trump highlighted that tariffs are a key reason behind the US's economic recovery. He mentioned, “I used these tariffs to collect hundreds of billions of dollars, allowing us to make great deals for our country, both economically and for national security. Everything was working well. Countries that have taken advantage of us for decades are now paying us hundreds of billions. They were taking so much from us.” He added that these countries are now satisfied, as are we. “We struck deals. The agreements are all finalized. They’re pleased. They aren’t making the money they once did, but we are making a lot. There was no inflation, and tremendous growth,” he said. Trump criticized the US Supreme Court's decision to overturn his previous import duties, calling it “very unfortunate.” He stated, “Just four days ago, we received an unfortunate ruling from the United States Supreme Court. It just came down. Very unfortunate. The good news is that nearly all countries and companies want to maintain the agreements they made, understanding that the power I have as President to create a new deal could be much harsher for them. Therefore, they will continue to follow the successful path we negotiated before the Supreme Court's unfortunate decision.” He also reiterated his claim of having solved wars, noting that the threat of tariffs played a role. “Despite the disappointing ruling, these powerful countries are saving money through the tariffs we’re collecting, which is benefiting our country. The peace I was able to achieve in many conflicts was due to the threat of tariffs. I wouldn't have been able to resolve those issues without that leverage, and these tariffs will remain under fully approved and tested alternative legal frameworks, which have been in place for a long time,” he stated.