During the ongoing U.S. government shutdown, U.S. Customs and Border Protection has confirmed that tariff collections will continue uninterrupted—a rare example of federal revenue operations maintaining normalcy amid chaos.
Because tariffs are classified as user fees, not dependent on annual appropriations, they remain operational even when large parts of government shut down. The Department of Homeland Security’s contingency plan ensures Customs’ financial functions are exempt from funding cuts, safeguarding tariff revenue flows through the crisis.
This continuity gives the federal government a critical revenue lifeline. Other funding streams—such as income taxes, discretionary spending, and appropriated programs—face disruption during the shutdown. But tariffs keep flowing, helping buffer against steep shortfalls. Still, experts caution that tariff revenue alone can’t replace broader tax income or plug large budget gaps.
There are political moves tied to these collections too. President Trump has floated using new tariff income to issue rebate checks or “dividends” to Americans, suggesting amounts between $1,000 and $2,000 per person. Whether those payments materialize will depend on legal, budgetary, and political constraints—but the idea hinges on the fact that tariff funds remain available even in a shutdown.
Even as revenue continues, the bigger question is sustainability. Tariff flows are volatile linked to import levels, trade retaliation, and economic health. While they offer more stability in this shutdown window, they can’t fully replace other tax revenues over the long term.