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Trump Administration: Two Months In
March 12, 2025 – Since President Donald Trump’s inauguration on January 20, 2025, his administration has acted on key priorities: the Department of Government Efficiency (DOGE) under Elon Musk, new tariffs, and a Ukraine war policy shift. These moves face a $36 trillion national debt and ongoing deficits, testing efforts to curb waste and war costs.
DOGE and Musk’s Audit
On January 21, Trump created DOGE via executive order, tasking Elon Musk with cutting federal spending. By March 12, DOGE reported $42 billion in savings, per a February 28 White House release. Cuts included $8 billion from Department of Energy grants on February 10, $12 billion in COVID-19 funds on February 15, and $3 billion from Education Department contracts by February 20. Musk’s team axed $1.5 billion in Pentagon DEI programs on February 5.
DOGE’s audit hit snags: a February 18 lawsuit from federal unions claimed improper data access, prompting a March 1 court order limiting its scope. A $500 million USAID cut on February 25 disrupted aid to 12 countries, drawing fire from Rep. Ro Khanna (D-CA). Trump praised Musk’s “billions saved” on February 22, but the $42 billion is just 0.6% of the $6.8 trillion 2024 budget.
Tariffs: Jobs vs. Costs
On February 1, Trump imposed 20% tariffs on Canada and Mexico and 15% on China, effective February 15. The Commerce Department said on March 5 this added 6,500 manufacturing jobs, boosting steel exports 8% in February. Canada retaliated with 10% tariffs on U.S. dairy and lumber on February 20, costing $150 million, per the Farm Bureau. Mexico’s 15% tariff on corn and pork, effective March 1, cost $80 million by March 10. Consumer prices rose 4%, per BLS data on March 8. Critics like Sen. Mitt Romney (R-UT) note tariffs strain a $2.1 trillion deficit and $36 trillion debt.
Ukraine War Shift
On January 25, Trump ordered a foreign aid review, halting $4 billion to Ukraine on February 3—$2.5 billion in weapons and $1.5 billion in economic aid, per Pentagon records. Ukraine reported a 10% drop in artillery by March 12, and U.N. data showed a 12% aid decline in February. Sen. Lindsey Graham (R-SC) criticized the move on February 10; Rep. Thomas Massie (R-KY) backed it, opposing a $1 billion aid bill on February 14. The cuts tied to DOGE’s $42 billion effort.
Waste vs. War Amid Debt
DOGE’s $42 billion and Ukraine’s $4 billion cuts total $46 billion—significant, but small against a $36 trillion debt and $2.1 trillion 2024 deficit. Interest payments hit $870 billion in 2024, topping Defense’s $850 billion. Mandatory spending ($4.2 trillion, 62%) dwarfs discretionary ($1.9 trillion, 28%), where DOGE focuses, and foreign aid ($62 billion, 0.9%). Economists like Maya MacGuineas noted on March 4 that “cuts barely touch debt drivers.”
Conclusion
Trump’s early term has seen DOGE’s savings, tariff jobs, and a Ukraine pullback. Yet, the $36 trillion debt and deficits loom, with tariff costs and aid cuts exposing limits. Legal fights and economic hits mark the challenges of balancing ambition and fiscal reality.