On December 17, 2025, President Trump delivered a significant address from the Diplomatic Reception Room at the White House, focusing on the progress made in his first year and his goals moving into 2026. This address, while touching briefly on various topics, centered heavily on the state of the economy, a subject of utmost concern for many Americans.
Against the backdrop of a nation recovering from economic mismanagement, Trump asserted a turnabout in fortunes. He claimed that he inherited a struggling economy from President Biden but has since set it on a path to recovery. His remarks on border security highlighted a key component of economic improvement: illegal immigration levels are reportedly at their lowest in history. For seven straight months, U.S. Border Patrol has not released any illegal immigrants into the country. In Trump’s view, the reduction of illegal immigration is a boon for American workers, stating that “these changes benefit working people over the medium and long term.”
Trump explained that the influx of illegal aliens had distorted housing demand, inflating prices for renters and buyers alike. While some may argue that most Americans live removed from neighborhoods populated by illegal immigrants, the reality is that overall demand pushes prices upward across the entire market. Furthermore, as illegal workers are removed, wages tend to rise. Without the competition for jobs from those who are undocumented, employers must enhance compensation packages to attract legal workers. This movement not only bolsters wages but also ensures that taxes paid by legal workers contribute to social programs, easing burdens on the broader population.
The address also highlighted improvements in inflation rates. With the current Consumer Price Index showing a decrease to 2.7 percent, Trump contrasted today’s figures with the historical peak of nine percent seen during Biden’s tenure. “The economy is moving in the right direction,” the President stated, drawing attention to the decline in food prices and gas costs that have marked his administration’s economic performance. He noted that Thanksgiving dinner this year was approximately 5 percent cheaper than in 2024, and gas prices have dropped significantly, with national averages falling below $3.
Beyond these consumer-friendly shifts, economic indicators reveal a promising landscape. The stock market saw an increase of 16.45 percent year-to-date, reaching historic highs. Predicted GDP growth for the United States stands at an encouraging 2.7 percent, a figure that outpaces many other G7 nations, which have struggled to see growth beyond the 1 percent threshold.
The address further elaborated on the resurgence of manufacturing, with construction spending hitting $237 billion—the highest in 30 years. Job creation stemming from these manufacturing improvements is substantial; 287,000 positions were created in 2023 alone, showing an impressive 11 percent increase over the previous year. Additionally, overall manufacturing jobs have been returning, with nearly two million having been brought back to the U.S. since 2010. Estimates predict that there will be 3.8 million new manufacturing job openings by 2033.
Record tariff collections and foreign investments were also called out as significant achievements. In 2025, tariff collections topped $200 billion, a staggering rise from the previous year. Commitments for investment from various countries, including the Middle East and East Asia, exceed several trillion dollars, underscoring a strong global interest in the American economy. For instance, the United Arab Emirates pledged $1.4 trillion, primarily in technology and infrastructure, while Japan’s commitments amount to $550 billion, signaling confidence in U.S. growth potential.
On the legislative front, Trump touted “The One Big Beautiful Bill,” which includes a series of tax reforms intended to provide meaningful relief to working families. This comprehensive bill raises the Child Tax Credit and offers significant deductions aimed at easing the financial burden on American parents. Other measures include the removal of taxes on tip income and overtime pay, further supporting low- and middle-income earners. It is projected that the bill will result in significant tax reductions for families, with the average household expected to save about $1,700, indicating a positive impact on the bottom line for many American families.
In conclusion, President Trump’s year-end address emphasized a narrative of economic recovery and growth. His administration claims to have initiated meaningful changes that not only address immediate problems like illegal immigration and inflation but also set the stage for long-term benefits for working Americans. The data provided paints an optimistic picture, highlighting the strides taken under his leadership toward establishing a thriving economy.
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