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Tag: economy ✕
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Trump Promises Every Adult Citizen a $5,000 "Dividend" — but Only if Republicans Keep the House and Senate — and Within a Day a Republican Senator Is Drafting the Bill, a Republican Congressman Is Asking Who Pays for "Well Over $1 Trillion," and a Democratic Governor Calls Him the "Briber in Chief"

Closing the first night of the Republican Party's midterm convention in Dallas on September 9, 2026, President Trump promised to send every adult US citizen a $5,000 "dividend" — explicitly conditioned on Republicans holding both the House and the Senate in the November 3 midterms. "If the Republicans win, you win with us," he told the crowd, framing the payment as the kind of cash distribution "a successful company will do" for its shareholders, and saying at least part of it would come from tariff revenue. Independent estimates put the cost between $1.15 trillion and $1.35 trillion, and the pledge drew pushback from both parties within hours. Sen. Bernie Moreno (R-OH) said he would have a bill ready to pass "immediately after the November 3rd election." Vice President JD Vance narrowed the offer in a Fox News interview, suggesting wealthy Americans would not qualify and pointing to tariff collections as the funding source. Rep. Chip Roy (R-TX) publicly asked how the administration intended to pay for it, and Rep. Thomas Massie (R-KY) mocked the figure outright. Kentucky Gov. Andy Beshear (D) accused the president of making himself the "briber in chief," noting that the $2,000 tariff rebates Trump promised in November 2025 never arrived. Federal law makes it a crime to offer or make a payment to induce someone to vote for or against a candidate, and legal commentators raised that statute immediately.

“It's absolutely inflationary. If Joe Biden had proposed that, conservatives would have been all against it. … [I]f the government borrows money, it's going to drive up how much somebody pays for their mortgage, for their car note, perhaps for their credit card.”

Bill Cassidy (R-LA) · Sep 20, 2026
midterms-2026
economy
tariffs
40 statements
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Trump Imposes 50% Section 338 Tariffs on Canadian Goods, Splitting Republicans

On Monday, July 20-21, 2026, President Trump signed three proclamations imposing additional 50% tariffs on roughly $20 billion in Canadian imports — including motor vehicles, alcoholic beverages and dairy, plus goods ranging from wine to hockey sticks — citing Canada's "discriminatory treatment" of American products. The tariffs take effect August 19, 2026. Trump invoked Section 338 of the Tariff Act of 1930, a Smoot-Hawley-era provision that had never been used by any president, allowing duties up to 50% against countries found to discriminate against US commerce. Democrats attacked the move as an inflationary abuse of trade authority, with Senate Finance ranking member Ron Wyden announcing legislation to curb the president's tariff powers. Republican reaction was notably cool: several GOP senators characterized the tariffs as a negotiating tactic while warning about consumer prices ahead of the midterms.

“I think it is wrong to have a trade war with Canada. It is not in the interest of our country to have a trade war with Canada.”

John Kennedy (R-LA) · Sep 16, 2026
tariffs
trade
canada
68 statements
· Updated

The Morning Ottawa's Counter-Tariffs Take Effect, Trump Orders $50 Billion of Canadian Goods Off the Federal Procurement Schedules — "NO RECIPROCITY – NO ACCESS!" — and by Nightfall Signs Five Proclamations Banning Canadian Whisky, Whey and Motorcycles Outright, While His Treasury Secretary Calls Canada "This Little Yippy Dog" and a Republican Senator Urges Him to "Deescalate"

At 12:01 a.m. on Tuesday, September 8, 2026, the retaliatory tariffs Prime Minister Mark Carney announced after U.S.–Canada trade talks collapsed in late August took effect — duties of 15 to 50 percent on roughly $20 billion of American steel, dairy, appliances, farm equipment and electronics. Within hours President Trump answered on Truth Social. Canada, he wrote, "has been ripping us off for years," and its federal and provincial governments "have banned American Small Businesses and Companies from selling into their Government Procurement Markets" while Canadian firms enjoy "broad access into the massive American Government Procurement Market." "That is not reciprocity, it is a Canadian Trade Scam. From now on, NO RECIPROCITY – NO ACCESS!" He said he was "hereby directing the GSA, working with the USTR, to take all necessary steps to REMOVE Canadian-origin products from GSA's Multiple Award Schedules" — contracts he put at "more than 50 BILLION DOLLARS a year" — "unless Canada restores full and fair reciprocity for American Farmers and Companies." That evening the White House released five proclamations signed under Section 338 of the Tariff Act of 1930, the same 1930 provision behind the 50 percent tariffs imposed on July 20. Three of them convert existing tariffs into outright import bans, effective September 29: most Canadian alcoholic beverages (wine, cider, vermouth, brandy, rye, rum, gin, vodka, tequila, liqueurs and cordials), non-alcoholic and malt beer, whey protein concentrates and other whey products, molasses, and motorcycles and mopeds. The others recalibrate the underlying tariff list: rock salt, cement, bed sheets, fishing rods, sugar, toilet paper, towels and napkins come off, and all-terrain vehicles, additional cheeses and dairy ingredients, motorboats, aluminum bars and rods, bamboo furniture, paper products, desks and lamps, golf carts, iron and steel columns and tubing, and mattresses go on at 50 percent from September 15. The dairy proclamation says Canada "maintained the discriminations against the commerce of the United States" after the July action, citing its tariff-rate quota allocations for American cheese. U.S. Trade Representative Jamieson Greer called the package "a natural consequence of Canada's continued discriminatory treatment of crucial American exports, ranging from alcoholic beverages to dairy products to motor vehicles," after Canada "walked away from a near-final trade deal" and "chose to embark on senseless retaliation." A senior administration official told reporters an "alternative pathway" could still be negotiated before the bans bite and that the carve-outs were meant "to really minimize the impact on supply chains here." The tone had been set over the weekend. On Fox News on Saturday, Treasury Secretary Scott Bessent likened Canada to a dachshund that "used to antagonize" his German shepherd: "This little yippy dog used to bark away, and for a long time, a 110-pound German shepherd was ignoring the dachshund and then one day she had enough." The counter-tariffs, he said, were "negligible" for U.S. prices, and Ottawa "were given the opportunity for a great trade deal and they didn't want it." Sunday and Monday brought the president's renaming of New Mexico, his complaint about Canada's exchange rate and his threat to bar Bombardier from selling aircraft in the United States. The congressional response on the day itself was thin, with the House out of session and the Senate in pro forma sessions. Sen. Susan Collins of Maine, who had written to Greer and Commerce Secretary Howard Lutnick about the July tariffs, thanked the administration on Wednesday for the road-salt and cement exemptions — the border town of Frenchville would have paid $10,000 more for salt, and one ready-mix company owner "would pay $150,000 each month" — but noted that "significant tariffs – including those on forest products – remain in effect and will lead to higher costs for Maine families," and urged the administration "to continue to work to deescalate this conflict." Colorado Gov. Jared Polis told CTV that "America does not view Canada as the 51st state, any more than Canada views United States as the 11th or 14th province," adding, "Unfortunately, in our country, that guy's our president, and that's kind of the problem." Ottawa did not announce further retaliation. Carney, in a video address the same day, said "the cumulative U.S. demands revealed that they wanted us to become even more reliant on them, not less," and trade minister Dominic LeBlanc said Canada would "work in good faith and constructively" whenever Washington "is ready to engage in dialogue." Lutnick was due in Mexico City on Wednesday to meet President Claudia Sheinbaum; 50 percent duties on Canadian cars and trucks remain under consideration for January 1.

“I appreciate the Administration's announcement that it will exempt road salt and cement from U.S. tariffs. In my communication with Ambassador Greer and Secretary Lutnick, I focused on road salt and cement as two products crucial to Maine that would be severely affected by these tariffs. I mentioned in a letter to the Administration that Frenchville, a small Maine town on the Canadian border, would incur $10,000 in extra costs for road salt, threatening the town's ability to provide municipal services. I also shared that I had heard from Maine ready-mix cement company owners, one of whom told me his company would pay $150,000 each month because of this tariff. These additional exemptions follow Canada's announcement that it will carve out American seafood and fish products from its retaliatory tariff list, which would have caused significant harm to Maine's lobstermen. However, significant tariffs – including those on forest products – remain in effect and will lead to higher costs for Maine families and uncertainty for businesses. I urge the Administration to continue to work to deescalate this conflict and reach a trade resolution with our Canadian partners.”

Susan Collins (R-ME) · Sep 9, 2026
tariffs
trade
canada
9 statements

Trump Tells the Fed to Cut Rates or He Will "Stop Trading" With Every Country the U.S. Runs a Deficit With — Ten Days Before a Meeting His Own Fed Chair Is Signaling Will Raise Them

On Friday, September 4, 2026, hours after a jobs report showed employers added 162,000 jobs in August, President Trump posted a Truth Social ultimatum telling the Federal Reserve to cut interest rates or he would cut off trade with every country that runs a surplus with the United States: "LOWER THE RATE OR I'LL STOP TRADING WITH COUNTRIES WITH WHICH WE HAVE A DEFICIT." He told the Fed Board it "must get smart — BE PATRIOTS for a change." The threat capped an unusually broad week-long pressure campaign: Vice President JD Vance told a White House briefing on September 3 that it was "proper and responsible" for the Fed to lower rates; National Economic Council director Kevin Hassett said on September 4 that the administration "respect[s] their independence" but that the case for holding steady was "pretty strong"; and senior economic counselor Peter Navarro, in a Friday interview with Steve Bannon, called members of the rate-setting Federal Open Market Committee "clowns" and said a hike would be "careless." The target of the campaign is Trump's own hand-picked Fed chair. Kevin Warsh, confirmed in May 2026 in the closest vote in modern history, used his Jackson Hole speech in late August to say the Fed's focus needed to be squarely on inflation, and markets put the odds of a quarter-point hike at the September 15-16 meeting at roughly 60 percent. The meeting falls eight weeks before midterm elections in which polling shows widespread voter anger over prices — a frustration Sen. John Kennedy (R-La.) described on "Meet the Press" on September 6 as inflation "gutting people like a fish," while conceding his own party was unlikely to do anything about it before November.

“We’ve got a few Republicans on the Senate side that are kind of like the feral kid in Mad Max 2.”

John Kennedy (R-LA) · Sep 6, 2026
federal-reserve
economy
inflation
8 statements

Senate Confirms Kevin Warsh as Fed Chair in Closest Vote in Modern Era

The Senate confirmed Kevin Warsh as Chairman of the Federal Reserve on May 13, 2026, in a 54-45 vote — the narrowest margin for a Fed chair in the modern era of Senate confirmations (since 1977). Warsh replaces Jerome Powell, whose term expires May 15. The confirmation came in two steps: the Senate first confirmed Warsh as a Fed Board Governor (51-45) on May 12, then as Chairman (54-45) on May 13. Sen. John Fetterman (D-PA) was the only Democrat to cross the aisle in both votes; Sen. Chris Coons (D-DE) voted yes on the governor confirmation but not the chair vote. President Trump has repeatedly pressured the Fed to lower interest rates and once declared that "anybody that disagrees with me will never be the Fed Chairman." Democrats warned the confirmation would give Trump effective control over the central bank. Warsh pledged at his April 2026 hearing to be "an independent actor" and said the president never asked him to commit to any specific rate decision.

“The Senate should not be aiding and abetting Donald Trump's illegal takeover of the Fed by installing his chosen sock puppet as chair. At this unprecedented moment in the Fed's history, he is uniquely unqualified to lead the agency.”

Elizabeth Warren (D-MA) · May 13, 2026
federal-reserve
monetary-policy
senate-confirmation
3 statements