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Browse major news stories and see what officials have said.

Sep 27, 2026· Updated

Xi's State Visit Ends With a Two-Month Extension of the Trade Truce, a New "Board of Trade" and a Pair of Pandas for Atlanta — Trump Calls It "One of Friendship, Strength, and Success," 21 Senate Democrats Say the Summit "Failed to Deliver," and Chuck Grassley Warns Trump Is "Making a Great Big Mistake by Having a Showcase of a Communist Autocrat"

Xi Jinping's state visit to Washington produced no signed Boeing, soybean or fentanyl deal and no White House readout. On Sept. 23, the day Xi arrived, Treasury Secretary Scott Bessent said on Fox that the "Busan Agreement" trade truce, due to expire Nov. 10, would be extended to Jan. 10, 2027, and USTR Jamieson Greer described a new U.S.-China "Board of Trade" to cut tariffs on lists of goods. The Sept. 24 summit also produced an AI crisis dialogue and two pandas for Zoo Atlanta. Trump called it "a great meeting" and on Sept. 25 posted that he and Xi would meet again in November in China and in December at the G20 in Miami. Reaction split largely along party lines. Twenty-one Senate Democrats led by Jeanne Shaheen said the summit "failed to deliver" and called the truce extension "a temporary band-aid on a crisis of the President's own making." Ron Wyden and Richard Neal said China was breaking its purchase promises while Trump punished allies. Farm-state Republicans welcomed the stability but wanted enforceable purchases, and Chuck Grassley said a truce extension alone would make the visit "a great big mistake."

“Yeah, of course it's a step forward. … Scott Bessent had set this up weeks before the actual visit of President Xi occurred. … We all know that nothing terribly meaningful came out of this conversation. And look, Xi himself is waiting for 37 days when he will now face a president of the United States who has been rebuked by his own people. … But like I said, let's not be too harsh. Anytime we're talking to the Chinese and stopping misunderstandings and making incremental progress on things like AI or not starting another trade war, you know, it's a valuable couple of days.”
James Himes (D-CT) · Sep 27, 2026

Sep 20, 2026· Updated

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

Sep 18, 2026· Updated

The Senate Passes the Russia and Iran Sanctions Bill 86-11 and Names It for Lindsey Graham a Month After He Died — "This Is a Big Effing Deal," Blumenthal Says, Quoting Graham's Last Words to Him

On August 7, 2026, the Senate passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 by a vote of 86-11, breaking a stalemate that had lasted more than a year and handing the late South Carolina Republican a posthumous version of the bill he had spent years failing to move. The measure imposes primary and secondary sanctions on Russia and the financial network sustaining its war in Ukraine, targeting the "shadow fleet" of shell corporations and repurposed maritime infrastructure along with Russian officials, oligarchs, their family members and financial institutions. It authorizes tariffs of up to 100 percent on the five largest importers of Russian crude and natural gas by volume — in practice China and India — and extends the Iran Sanctions Act of 1996, renewing sanctions on Iran's energy and weapons sectors that were set to lapse at the end of the year. The bill had been blocked for months by the White House's unwillingness to accept binding sanctions authority. It moved only after a bipartisan group — Sens. Jeanne Shaheen (D-N.H.), Richard Blumenthal (D-Conn.), Darline Graham Nordone (R-S.C.), Katie Britt (R-Ala.), Roger Wicker (R-Miss.) and Jim Risch (R-Idaho) — announced an agreement on July 28, seventeen days after Graham died at 71 at his Capitol Hill home. They said there was "no greater way to honor" his legacy. Blumenthal, a co-author, told the floor: "I'm not even going to try to channel my inner Lindsey Graham, except to say, as he said to me in some of his last words, 'This is a big effing deal.'" Graham's sister Darline Graham Nordone — appointed to his seat on Trump's recommendation — said he "believed that this was the most consequential piece of legislation that he had ever led." Not everyone was satisfied. Sen. Rand Paul (R-Ky.) forced a vote on an amendment limiting Trump's tariff authority under the bill; it failed 32-64. On the House side, Foreign Affairs ranking member Greg Meeks (D-N.Y.) and Rep. Don Beyer (D-Va.) warned that the final text "still contain[s] the broadest possible waiver authority for President Trump, who already has the power to impose these sanctions on Russia under U.S. law but has refused to do so," and Meeks said he opposed "handing President Trump a Trojan horse for tariff authorities he has repeatedly abused." The House is expected to take the bill up when members return from summer break on August 31.

“I wish Lindsey were here to celebrate this historic day. I know he would be so proud.”
Darline Graham Nordone (R-SC) · Sep 18, 2026

Sep 16, 2026· Updated

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

Two Weeks Before Xi Comes to Washington, Trump Calls a Senator's Warning About Chinese Cars "a Total Phony Rumor" — Then Says in the Same Interview That "If China Wanted to Come In and Open a Plant to Build Their Cars Here, I'd Be OK With That"

On September 9, 2026, Sen. Elissa Slotkin (D-MI) posted that she was hearing "rumors that Trump is planning to allow Chinese cars to be sold in the U.S., as part of a larger deal he's putting together," calling it "a strategic mistake." She cited no source and paired the warning with a push for the Connected Vehicle Security Act, her bipartisan bill with Sen. Bernie Moreno (R-OH) that would bar Chinese-linked connected vehicles, software and hardware from the U.S. market. A House version is led by Reps. John Moolenaar (R-MI), chairman of the Select Committee on China, and Debbie Dingell (D-MI), and the Senate Commerce Committee passed the bill in July. Asked about it on Fox News' "The Ingraham Angle" on September 11, President Trump said "I hate this rumor. It's a total phony rumor," pointing to his tariffs on Chinese cars. But in the same interview he said "If China wanted to come in and open a plant to build their cars here, I'd be OK with that," comparing it to Japanese automakers: "The big thing is they hire our people." He said he did not want Chinese companies building cars in Mexico and shipping them north. The remarks came as Trump prepares to host Chinese President Xi Jinping in the United States, a meeting expected around September 24, and a week after the Alliance for Automotive Innovation — representing Ford, GM, Toyota, Stellantis, Honda and nearly every other major automaker — asked Congress to pass a permanent ban on Chinese vehicles by the end of December. A Biden-era Commerce Department rule already effectively bars Chinese automakers from selling or building connected passenger vehicles in the U.S.

“I hate this rumor. It's a total phony rumor. I'm the one that has a 150 percent tariff on any car from China. … If China wanted to come in and open a plant to build their cars here, I'd be OK with that. … Japan does it, but they hire our people. The big thing is they hire our people.”
Donald Trump (R-FL) · Sep 11, 2026

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

The Transportation Secretary Tells Ford It Is "Actively Intertwining Its Future With Chinese State-Backed Enterprises" — Three Weeks After the Commerce Secretary Said "Ford Is Going to Rock Us" by Bringing Manufacturing Home — and Ford Calls the Letter "a Wrongheaded Attempt to Capture Headlines"

On September 8, 2026, Transportation Secretary Sean Duffy sent Ford CEO Jim Farley a letter expressing "the profound concern of the U.S. Department of Transportation" about "the strategic trajectory of Ford Motor Company," and released it to the press. The letter cited Ford's licensing of battery technology from China's CATL — a company on the Pentagon's list of Chinese military-linked firms — at its BlueOval Battery Park in Marshall, Michigan; its arrangement letting Chinese automaker Geely build vehicles at Ford's plant in Valencia, Spain; reported talks with BYD over hybrid components; and Ford's decision to keep building the Lincoln Nautilus in China until 2030. Ford's choices, Duffy wrote, "paint a troubling picture of a foundational American brand actively intertwining its future with Chinese state-backed enterprises," and a company that "intentionally chooses to deepen operational dependencies on strategic competitors" fails "to act as the reliable partner the American public and this DOT require." Ford answered the same day with unusual bluntness for a company dealing with its regulator. It called the letter "a wrongheaded attempt to capture headlines at the expense of a company that has done more for American manufacturing than virtually any other in the nation's history," said it contained "factual errors," described the CATL deal as "a limited technology-licensing and services agreement, not a joint venture or foreign-owned manufacturing operation" under which "Ford owns the plant, controls the operation and employs the workforce," and noted that "Had Secretary Duffy reached out before issuing his letter to the press, we would have been happy to share more details." Ford also pointed out that Commerce Secretary Howard Lutnick had praised the Nautilus decision on August 13, telling Fox Business after a joint interview with Farley that "Ford is going to rock us with bringing manufacturing back to America." On September 9, congressional Republicans lined up behind Duffy. Sen. Rick Scott (R-FL) thanked him for "sounding the alarm about Ford's risky ties to CCP companies," and Rep. John Moolenaar (R-MI), chairman of the House Select Committee on China — who in July had said Ford was "actively helping the Chinese Communist Party" by hosting Geely in Spain — said "Ford should work with our nation's allies, not our adversaries." Michigan's Democratic delegation had not weighed in as of the evening of September 9.

“… sounding the alarm about Ford's risky ties to CCP companies.”
Rick Scott (R-FL) · Sep 9, 2026

Trump Waives Tariffs on 300,000 Metric Tons of Foreign Ground Beef to Cut Grocery Prices — and Nearly Every Republican From Cattle Country Turns on Him, With One Calling It "Worse Than Socialism"

On Friday, August 21, 2026, President Trump announced that for the next 90 days the United States will allow up to 300,000 metric tons of lean beef trimmings for ground beef to be imported with no out-of-quota tariff. He said foreign exporters had committed that "this beef will be sold at 25 percent below current market prices," and framed it as relief for grocery bills eleven weeks before the midterms: "This deal will reduce prices for Americans while giving space for our Great American Beef Herd to grow again." An executive order was expected within two weeks. The USDA touted the move as proof of Trump's commitment to "lowering the cost of everyday goods for the American people." The backlash came the same afternoon, and it came almost entirely from his own party. Both Nebraska senators, all three Nebraska House Republicans, Montana's Republican senator, Iowa's senior Republican senator and two of the House GOP's most vocal backbenchers went on the record against it within hours. Sen. Tim Sheehy (R-Mont.) said he had privately advised Trump against the policy "for a year" and warned that the ranchers it would hurt are "most of whom are MAGA Republicans." Rep. Thomas Massie (R-Ky.) called it "Worse than socialism!" Sen. Deb Fischer (R-Neb.) said she was "extremely disappointed by this decision from the White House." The substantive objection was consistent across party lines: the U.S. cattle herd is at historically low levels, and ranchers argue that suppressing prices with imported product removes the incentive to rebuild it. National Cattlemen's Beef Association CEO Colin Woodall said the move "sacrifices long-term stability for short term messaging." Democrats attacked from a different angle — Rep. Marcy Kaptur (D-Ohio) tied it to the administration's earlier expansion of the Argentine beef quota. Trump, asked about the rancher complaints, said: "I love the ranchers; they've done a fantastic job. But they admit that we need a little help, and, in order to get the prices down, so that's what we're doing."

“For years I’ve heard they have problems with the big processors. They say the four are a “nasty group.” They cost our farmers a lot of money, and they cost our ranchers a lot of money, and they cost our people a lot of money. People have been asking for this change for decades, and we’re getting it done.”
Donald Trump (R-FL) · Sep 4, 2026

Trump Signs an Executive Order Renaming Lake Ontario "Lake America" — "All We Need Is an Ocean" — and Even Chris Christie Calls It "Completely Childish"

On August 27, 2026, President Trump signed an executive order in the Oval Office directing the Interior Department to update federal geographic information systems to rename Lake Ontario as "Lake America," effective immediately. The order asserts that because "the deepest parts of the Lake's waters" lie within United States territory, "the United States claims most of the Lake's volume," and that the lake "has long been an integral asset to American exploration, settlement, commerce, and defense." Trump had floated the idea two days earlier, on August 25, in the middle of the collapse of US–Canada trade talks and the Section 338 tariff fight. Asked what message he meant to send Canada, Trump said "No message" and then added that Canada "has been ripping us off for a long time on trade." He framed the order as a sequel to renaming the Gulf of Mexico: "we have a gulf and we have a lake. Now, all we need is an ocean." The reaction from US officials was near-uniformly negative and unusually mocking. Senate Democratic Leader Chuck Schumer, whose state borders the lake, called it "a juvenile effort" and "a pathetic attempt at distraction" from tariffs raising costs in Upstate New York. Gov. Kathy Hochul answered in five words on X: "New York won't be calling it that." Sen. Amy Klobuchar said that "on behalf of the great Lake Superior, I call that superiorly stupid." Sen. Chris Van Hollen called it "more evidence we elected a toddler as president," and Sen. Mark Kelly asked how renaming a lake helps Americans who "can't afford their lives right now." Elected Republicans were largely silent. Former New Jersey Gov. Chris Christie called the order "Childish. Completely childish." Rep. Jeff Crank (R-CO), asked the next day whether the body of water is Lake Ontario or Lake America, said he was "unaware of — what's the reference?" and then, "I don't know. I — I have other more pressing issues I'm working on. Goodness!" Canadian officials rejected the renaming outright. Prime Minister Mark Carney noted the name derives from the Wendat word Ontari'io and predates both Confederation and the Declaration of Independence; Ontario Premier Doug Ford said it "will always be Lake Ontario to all Canadians and the rest of the world." The lake's name in Canada is unaffected — the order reaches only US federal usage.

“President Trump's inane executive order is a weak attempt to distract from the fact that the Trump administration has raised costs on hardworking families, caused gas prices to skyrocket, and cut the programs that Americans rely on to get healthcare and put food on the table. Instead of renaming Great Lakes for no good reason, the president should stop the political games, get back to the negotiation table, and make a deal that lowers costs for New York families. I am proud to announce this legislation to restore Lake Ontario's original name, and I look forward to getting it passed.”
Kirsten Gillibrand (D-NY) · Sep 3, 2026

Trump Calls Tucker Carlson, Marjorie Taylor Greene and Thomas Massie "LOSERS ALL" in a Late-Night Post — and Greene Answers That He Is the "Trojan Horse" and She Wishes She Had "Never Supported Him"

At roughly 10:30 p.m. on Friday, August 21, 2026 — hours after Republicans from cattle country spent the day attacking his decision to waive tariffs on 300,000 metric tons of imported ground beef — President Trump posted a long Truth Social message attacking three of the most prominent figures in the breakaway "America First" faction that has been forming against him. "Tucker Carlson just met with Lightweight 'Former' Congressman, Thomas Massie, and Marjorie 'Traitor' Greene, LOSERS ALL!" the post began. Trump wrote that Carlson's "Views" had "fallen through the floor," called him "totally irrelevant" and "a very Low I.Q. individual," said Greene had gone "from Ultra Conservative to a Liberal 'Fool'" and described her as "a highly neurotic young woman," and called Massie "a failed politician, and a real JERK." He closed by mocking the idea of the three running together: "What a team this would be, THREE LOSERS, and a pocketful of change!" The post referred to a gathering at Carlson's home in Maine in early August. On August 1, Greene — who resigned her Georgia House seat in January and has since left the Republican Party — posted a photograph of herself at a table with Carlson, Massie and Joe Kent, the former director of the National Counterterrorism Center who resigned in March over the Iran war. Greene wrote at the time: "We said no more foreign wars and we meant it and supported Donald Trump because he made that promise. But he's betrayed us all." Kent later said publicly that the group was trying to build a new anti-war movement and had tried to persuade Carlson to run for president in 2028. The White House answered that gathering by calling the participants "an embarrassing collection of mostly whiny turncoats." The responses to Trump's post came the next day and were sharper than the post itself. Greene wrote that Trump's "demeanor, name calling, absurd and reckless rhetoric is unbecoming of the office of the president" and that "at this point, he's no different than an internet troll," then went further than she previously had: "now as president he's been revealed to be the Trojan horse who enforces many of the policies he claimed to be against... I'm sorry I didn't see it earlier and wish I had never supported him." Massie tied the outburst directly to the week's news — the beef backlash, the national debt crossing $40 trillion, and the Iran war — and wrote that Trump "posted this because we are the three he should have listened to." The exchange matters because it is the sharpest public break yet between a sitting president and the media-and-movement wing that carried him, eleven weeks before a midterm election in which Trump's own party is already treating the Iran war and the cost of living as liabilities. Trump himself acknowledged the electoral risk in the post, writing that the faction "could probably take a couple of points away from whatever the Republican ticket happens to be."

“President Trump’s demeanor, name calling, absurd and reckless rhetoric is unbecoming of the office of the president. At this point, he’s no different than an internet troll or one of the many millions of bots. In the past, I supported him because of the policies he professed to support and passionately campaigned on, but now as president he’s been revealed to be the Trojan horse who enforces many of the policies he claimed to be against. I’m sorry I didn’t see it earlier and wish I had never supported him.”
Marjorie Taylor Greene (R-GA) · Aug 22, 2026

Aug 20, 2026· Updated

The National Debt Crosses $40 Trillion Months Ahead of Schedule — Driven in Part by the Tariff Revenue the Supreme Court Took Away — and the Treasury Secretary Says "There's Nothing Magic About the $40 Trillion Number"

On August 19, 2026, the Treasury Department reported that total federal debt outstanding had crossed $40 trillion for the first time, finishing the day at $40,047,425,768,420.22 — roughly $32.3 trillion held by the public and $7.8 trillion in intragovernmental holdings. The milestone arrived months earlier than the Congressional Budget Office had projected. The government borrowed $1.8 trillion in the first ten months of fiscal 2026 — more than in all of fiscal 2025 — and the gap widened after the Supreme Court struck down Trump's "Liberation Day" tariffs, costing an estimated $250 billion in revenue and forcing Treasury to refund more than $100 billion in import taxes it had already collected. The debt has doubled in under a decade, having stood at just under $20 trillion at the end of the Obama administration. Republicans who control both chambers reacted with alarm rather than a plan. House Budget Chairman Jodey Arrington (R-Tex.) called the debt "an existential threat" and renewed his call for an Article V constitutional convention. Senate Majority Leader John Thune (R-S.D.), whose chamber had just left town for August recess without acting on Trump's demand that it address the debt ceiling, told reporters "$40 trillion in debt — seems to me that should get our attention." Sen. Chuck Grassley (R-Iowa) posted that voters had "40 trillion reasons 2 reject unaffordable socialist policies," drawing ridicule from critics who noted he had voted for the tax and spending bills that produced it. Sen. Rick Scott (R-Fla.) called it "bad" and demanded a balanced budget. Democrats pointed at the majority. Rep. Brendan Boyle (D-Pa.), ranking member on the Budget Committee, said Republicans "only care about 'fiscal responsibility' when it's time to cut your health care." House Democratic Leader Hakeem Jeffries (D-N.Y.) said "The Republican economy is a disaster. Vote them all out in November." The administration's answer was growth. Treasury Secretary Scott Bessent told CNBC the next morning that "there's nothing magic about the $40 trillion number, and we can grow our way out of that," and said there was a "very good chance" the deficit under Trump had already peaked.

“There’s nothing magic about the $40 trillion number, and we can grow our way out of that. Global growth is the way to take care of this mountain of debt.”
Scott Bessent (R-SC) · Aug 20, 2026