
President-elect Donald Trump is taking swift action to reshape the American economy by introducing the External Revenue Service (ERS), a bold new agency designed to collect revenue from foreign trade rather than taxing American citizens. This initiative reflects Trump’s commitment to prioritizing American workers and industries.
In his announcement on Truth Social, Trump criticized weak trade deals that have allowed other nations to profit while American taxpayers shoulder the financial burden. The ERS, launching on January 20, will focus on collecting tariffs, duties and other foreign-sourced revenue to ensure that foreign countries finally pay their fair share.
Trump’s broader economic strategy includes imposing tariffs ranging from 10% to 20% on all imported goods and up to 60% on products from China. He has also warned that Mexico and Canada could face a 25% tariff if they refuse to cooperate with US immigration enforcement.
Currently, US Customs and Border Protection is responsible for tariff collection. However, the creation of the ERS would centralize and streamline this process, allowing for more aggressive enforcement of Trump’s trade policies. Some allies, such as Steve Bannon, have suggested placing the ERS under the Treasury Department to avoid overloading the IRS.
Economist EJ Antoni has voiced strong support for the ERS, arguing that it represents a necessary shift away from income taxes and toward foreign-sourced revenue. Antoni believes this move will relieve American taxpayers and stimulate domestic economic growth.
Trump’s decision to establish the ERS underscores his commitment to making America more financially independent. By holding foreign countries accountable, Trump is taking meaningful steps to reduce the tax burden on American families and strengthen the economy.