S&P Global has reaffirmed the ‘AA+’ credit rating for the U.S. The decision is largely based on the anticipated tariff revenue that is expected to counterbalance the fiscal impact of President Donald Trump‘s latest tax-cut and spending bill.
S&P Sees Stable Outlook Despite Trump’s Costly Tax Bill
The ratings agency cited the revenue generated from Trump tariffs as a counterweight to the fiscal implications of his recent tax-cut and spending bill, dubbed the ‘One Big Beautiful Bill Act’, as reported by The Wall Street Journal.
The bill, enacted in July, introduced new tax breaks and made Trump’s 2017 tax cuts permanent. “We expect meaningful tariff revenue to generally offset weaker fiscal outcomes that might otherwise be associated with the recent fiscal legislation,” S&P stated.
Despite a $21 billion …