President Trump's tariffs will cut deficits by $3 trillion over the next decade, $1 trillion less than previously forecast, the Congressional Budget Office said Thursday.

Why it matters: Taking a trillion dollars in deficit reduction off the table may complicate the math around Trump's $2,000 tariff dividend checks — already unpopular with Senate Republicans who want to prioritize the deficit.

Follow the money: CBO said all of the tariffs put in place between January 6 and November 15 would cut primary deficits by $2.5 trillion, if left in place through 2035. • Lower deficits mean less borrowing, saving an estimated $500 billion in interest, bringing the total deficit reduction to $3 trillion.

Between the lines: The revision restores the projection the office made in June, which it la

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