Watch: Trump says tariffs could replace income tax

President Donald Trump touted his revised tariffs during his State of the Union address on Tuesday, saying he believes import taxes could eventually replace income taxes.

Watch the full clip in our video player above.

“Over time, I believe that tariffs paid by foreign countries, as has happened in the past, will largely replace the modern income tax system, relieving a great financial burden on the people I love,” Trump said.

On Friday, the Supreme Court dealt a major setback to Trump’s agenda when it struck down his sweeping tariffs. Trump later announced that he would reimpose global tariffs of 15%, although they took effect on Tuesday at 10%.

Trump’s speech comes after 13 months of deregulation, a record number of executive actions, mass layoffs, aggressive immigration tactics, and more.

Before the speech, Trump was expected to outline his administration’s accomplishments, make his case for keeping his party in power next November, and celebrate the 250th anniversary of America’s independence.

At the same time, a number of pain points threatened to overshadow Trump’s positive messages during his prime-time speech.

In addition to the Supreme Court’s tariff ruling, the partial government shutdown of the Department of Homeland Security, over Democratic opposition to Trump’s aggressive immigration enforcement, appears to have no end in sight. Questions about the Jeffrey Epstein investigation continue to haunt his administration.

According to the latest PBS News/NPR/Marist poll, 60% of Americans say the country is worse off than last year, while 40% believe the country is better off.

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