More revenue, more deals, more manufacturing: CEA Chair Miran bullish on tariffs windfall

Council of Economic Advisors Chairman Stephen Miran said he expects even more government revenue from tariffs than previously projected, predicted more major U.S. trading partners will cut deals with the Trump administration, and waved off inflation concerns over tariffs.

“You mentioned revenues. That’s also, I think, going to be absolutely fabulous,” Miran said in an interview on CNBC’s “Money Movers.”

“A month ago, we expected $3 trillion in revenues [from tariff collections] over a decade,” he said. “My team is still crunching the numbers as we have more tariff rates ... I wouldn’t be surprised if it ended up being much closer to $4 trillion than $3 trillion.”

Miran said recent trade deals signed by the Trump administration, with the European Union, Japan and other trading partners, has “laid out a road map for how other countries can get trade deals if they want,” including Canada, China and Mexico.

Those three countries are among the biggest trading partners with the U.S., and Miran suggested “it’s only a matter of time until Canada and some others” reach similar deals.

“It’s in their best interest to come to deal that makes America still remain open for business,” Miran said. “Because outcomes with the deal will be much better than outcomes without a deal.”

Asked if there is evidence that imposing tariffs on imports from other countries had lead to an increase in U.S. companies moving foreign manufacturing operations back home, Miran said, “I think it’s going to take soem time for that evidence to accumulate.“

He noted that “hyperglobalization” took years to occur, and likewise, “starting to rebuild the American domestic manufacturing base is also not going to happen overnight.”

“I think we’ll start to see signs of that coming in the near future,” Miran said.

He said he did not think the new tariffs imposed by Trump will be “inflationary.”

When “Money Movers” host Sara Eisen pointed to evidence of inflation in some goods sectors, Miran said he disagreed that it was due to tariffs, calling it “an international phenomenon” that is also seen in other countries.