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Voters have sent a message to Trump on tariffs, but the White House still holds significant power

Democrats will dig into the decisions behind tariff rates for various industries and trade partners, but can’t do much more for now.

Despite Democrats winning the majority in the House and Senate, President Donald Trump still holds significant power over trade policies. This power includes vetoing any potential changes, which requires a two-thirds majority in Congress that Democrats lack without Republican support. The tariffs imposed by Trump, aimed at rebalancing trade deficits, have resulted in higher costs for American households, with an average increase of $820 per household in 2026.

The tariffs have negatively impacted specific industries and states in the US, particularly in the North, which rely heavily on trade with Canada. The Democrats' focus will be on investigating trade matters and shaping the cost-of-living narrative for the 2028 elections, but they do not have the ability to alter Trump's trade strategy.

Australia, while less exposed to US tariffs compared to other countries, should remain vigilant as the Democrats' success in the midterms may influence US policy.

Written by urgent.news from The Conversation AU's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

Read the original at theconversation.com →

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