Washington, April 3: The White House has asserted that new trade agreements with several countries, including India, have played a crucial role in reducing the US trade deficit. This statement was released on the one-year anniversary of Donald Trump’s tariff policy, which the administration refers to as ‘Liberation Day.’
According to the White House, these policies have made the US economy stronger, more competitive, and secure. Spokesperson Kush Desai stated, “A year ago, President Trump prioritized ‘America First’ over the illusion of ‘free trade.’ The results have been remarkable, including over 20 new trade agreements, trillions in manufacturing investments, lower drug prices, and a decrease in the trade deficit.”
The administration reports that from April 2025 to February 2026, the US goods trade deficit has decreased by 24% compared to the previous year. Notably, the deficit has consistently declined on a year-over-year basis each month since the policy changes.
Data shows that the bilateral trade balance has improved with over 63% of the US’s trading partners. The trade deficit with China has dropped by 32% in the past year and by 46% between April 2025 and January 2026. The White House also noted that for the first time since 2000, China is no longer the country with which the US has the largest trade deficit.
Similarly, the deficit with the European Union has decreased by nearly 40%. Additionally, the US has recorded a trade surplus with Switzerland for the first time since 2012.
The White House claims that some of the tariff burden is being absorbed by foreign producers. Citing a study from the Bank of England, it noted that prices for goods exported to the US have fallen, while prices for other countries have remained stable. This indicates that foreign companies are lowering their prices to maintain competitiveness.
According to the administration, the US has entered into over 20 trade agreements with major partners, including India, Japan, Vietnam, and Argentina. These agreements cover more than half of global GDP and open new markets for US agricultural, energy, and industrial products while reducing non-tariff barriers.
The manufacturing sector has also seen a surge. Companies like Apple, Toyota, Micron, and Pfizer have made significant investments, leading to a return of production and supply chains to the US. In 2025, shipments of capital goods reached record levels, while their imports accounted for the largest share of total imports.
At the beginning of 2026, manufacturing activities expanded for the first time in two years, continuing through February and March. The industrial production index has also reached its highest level since 2019.
In terms of steel production, the US surpassed Japan in 2025, becoming the third-largest steel producer in the world after China and India for the first time since 1999.
According to the White House, US workers’ incomes have also increased. Real earnings for private sector employees rose by over $1,400 in one year, with significant gains in manufacturing, construction, and mining sectors.
The administration stated, “These results prove that President Trump’s ‘America First’ trade policy is making the country economically strong, prosperous, and respected globally.”
Arpit Soni has had a passion for journalism since the beginning. Now he has turned this hobby into his profession. Arpit, who is a resident of Udaipur, enjoys editing and writing news related to journalism. He has worked as a Senior Content Producer in several important roles at Bhaskar, Patrika, Pratahkal, Punjab Kesari, and Times. Arpit completed his schooling in Udaipur and Jaipur. He has been working in the media industry for more than 10 years, and his journey is still continuing. ✍️📚
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