US starts fiscal 2027 with record $404 billion budget deficit: Why customs revenue fell 39% despite Trump's new tariffs

US budget deficit surged to a record $404 billion in October, up 42% from a year earlier, as government spending climbed to $773 billion and customs revenue plunged 39%. The widening shortfall comes as the Trump administration faces tariff refund obligations, rising military and debt-interest costs, and a projected $2.2 trillion deficit for fiscal 2027.