The purpose of the Trade Deficit Elimination Act of 2026 is to address and reduce the trade deficit that the United States has with certain countries. A trade deficit occurs when a country imports more goods than it exports, which can negatively impact the economy and national security. This legislation aims to impose additional duties on imported goods from countries identified as having a significant trade deficit with the U.S. Key provisions of the Act include the establishment of a process for identifying "trade deficit economies," which are countries with which the U.S.