logo
Trump's 'Big Beautiful Bill' sparks a midterm showdown: Who gains the upper hand — Republicans or Democrats?

Trump's 'Big Beautiful Bill' sparks a midterm showdown: Who gains the upper hand — Republicans or Democrats?

Time of India2 days ago
GOP Celebrates Legislative Victory as Fulfilling Mandate
Live Events
Democrats Highlight Social Cuts, Seek Messaging Reset
Divided Public Opinion Clouds Political Impact
Echoes of 2018 or a New Political Terrain?
Trump Signals Campaign Strategy for Midterms
FAQs
What is Trump's Megabill?
When do the Medicaid work requirements take effect?
(You can now subscribe to our
(You can now subscribe to our Economic Times WhatsApp channel
With the passage of President Donald Trump's sweeping tax and policy package, the political spotlight now shifts to the 2026 midterm elections . As Republicans hail the legislation as a triumph of conservative governance, Democrats are mobilizing against what they describe as a broad assault on social safety nets. The measure, dubbed Trump's Megabill, is poised to become a defining issue in the upcoming electoral contest.The $4.5 trillion legislative package, which includes permanent tax code changes, border security expansion, and controversial cuts to Medicaid and food assistance programs, has not only reshaped policy but also reignited fierce partisan debate — one that both parties believe could shape control of Congress next year.President Trump showcased the bill's passage at a rally in Iowa, declaring it the fulfillment of his 2024 campaign promises. 'Every major promise I made to the people of Iowa in 2024 became a promise kept,' Trump told a cheering crowd.The Republican leadership, still navigating internal divisions, has largely coalesced around the megabill, viewing it as a major legislative win. It codifies Trump's earlier tax reforms and adds new measures such as tax exemptions on tips and a senior citizen tax deduction of $6,000 for those earning up to $75,000 annually.'This bill is not only about taxes — it's about showing voters we can deliver on our agenda,' said Mark Bednar, a Republican strategist and former aide to House Speaker Kevin McCarthy. 'The GOP should lean into this, especially as we approach the August recess and 2026 campaign cycle.'Democrats, reeling from setbacks in previous elections, see the bill as an opportunity to reframe the political conversation. Trump's Megabill, they argue, prioritises wealthy Americans and corporations while slashing lifelines for vulnerable communities.House Minority Leader Hakeem Jeffries, D-N.Y., delivered an impassioned nine-hour speech on the House floor, highlighting individuals affected by proposed Medicaid and SNAP reductions. 'Shame on the people who've decided to launch that kind of all-out assault on the health and the well-being of everyday Americans,' he sai, as quoted in a report by ABC News.According to estimates by the Congressional Budget Office, the bill will eliminate health coverage for 12 million Americans and strip 3 million of food stamp benefits over the next decade. The CBO also projected a $3.4 trillion increase in the national deficit as a result of the policy changes.Polling data reflects the public's ambivalence. A June Quinnipiac poll found that just 29% of voters supported the bill, while 55% opposed it. Another Fox News survey showed similar trends, with 59% against and only 38% in favour. Notably, nearly half of those polled felt the bill would negatively affect their own families.Opinions on work requirements for Medicaid recipients remain more evenly split: 47% support the provision, while 46% oppose it, as per a report by ABC News.Still, strategists on both sides believe the real electoral implications will depend on how effectively the parties communicate the bill's provisions and consequences to voters. 'It's going to be crucial for Democrats to explain the long-term impact of Medicaid cuts and rising debt,' said Dan Sena, a Democratic strategist who ran the party's 2018 congressional campaign.Democrats have drawn parallels to 2018, when public backlash over GOP tax reforms and failed attempts to repeal Obamacare helped them reclaim the House. However, analysts caution that the 2026 midterms present a different landscape.At the time, Republicans were defending 25 districts won by Hillary Clinton. Today, just 13 Democrats hold seats in districts carried by Trump, while only three Republicans represent districts won by Vice President Kamala Harris.Moreover, some moderate Democrats have cautiously endorsed elements of Trump's Megabill, including the no-tax-on-tips provision, complicating efforts to present a unified opposition.Republicans, meanwhile, are showing a more consolidated front under Trump's leadership. While dissent did emerge — notably from Senator Thom Tillis, R-N.C., who opposed the Medicaid changes — such resistance remains isolated. After voting against the bill, Tillis announced he would not seek re-election, following reported pressure from Trump loyalists.President Trump made it clear during his Iowa rally that he intends to use the megabill as a campaign centrepiece. 'With all of the things we did with the tax cuts and rebuilding our military, not one Democrat voted for us," he said. "And I think we use it in the campaign that's coming up — the midterms, because we've got to beat them."Trump's Megabill is a $4.5 trillion legislative package recently passed by the U.S. Congress. It includes permanent tax reforms, expanded border security, and significant cuts to Medicaid and food assistance programs like SNAP.Starting in 2027, states must verify that 'able-bodied' Medicaid recipients work at least 80 hours per month, unless exempted (e.g., students, caregivers, disabled individuals). Parents of children over 13 will also be subject to these checks.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Donald Trump says ‘first tariff letters' to be sent at 9.30 PM IST today
Donald Trump says ‘first tariff letters' to be sent at 9.30 PM IST today

Mint

time7 minutes ago

  • Mint

Donald Trump says ‘first tariff letters' to be sent at 9.30 PM IST today

US President Donald Trump confirmed that he would start sending other countries the first letters on tariffs and trade deals on Monday, ahead of a deadline for the paused levies to take effect. 'I am pleased to announce that the UNITED STATES TARIFF Letters, and/or Deals, with various Countries from around the World, will be delivered starting 12:00 P.M. (Eastern), Monday, July 7th,' Trump said on his Truth Social network Sunday. So far, Washington has finalized deals only with the United Kingdom and Vietnam, while reaching a temporary agreement with China to reduce exceptionally high tariffs on each other's goods. Trump said he planned to send '12, maybe 15' tariff notification letters on Monday, PTI reported. He added, 'I think we'll have most countries done by July 9, either a letter or a deal,' noting that some agreements had already been reached. US Commerce Secretary Howard Lutnick confirmed that the new tariffs would take effect on August 1 but rejected the notion that the date was a delay tactic, AFP reported. Also Read: Donald Trump's tariff letters to hit 12 countries as trade deadline chaos looms 'The President is setting the rates and the deals right now,' Lutnick said. Senior advisor Bessent also dismissed suggestions that August 1 marked a new deadline. 'It's not a new deadline. We are saying this is when it's happening. If you want to speed things up, go ahead. If you want to stick with the old rates, that's your decision,' he explained, as reported by AFP. Bessent noted that the strategy was to apply 'maximum pressure,' citing the European Union as an example of a negotiating partner now making significant progress after initial reluctance. Still, unease persisted among several countries. Japan's Prime Minister Shigeru Ishiba stated on Sunday that he 'won't easily compromise' in trade talks with Washington. Meanwhile, BRICS leaders representing fast-growing economies such as Brazil, Russia, India, and China meeting in Rio de Janeiro expressed 'serious concerns' over what they described as 'indiscriminate' and potentially illegal import tariffs, warning of their impact on global trade. I am pleased to announce that the UNITED STATES TARIFF Letters, and/or Deals, with various Countries from around the World, will be delivered starting 12:00 P.M. (Eastern), Monday, July 7th. In response, Trump lashed out at BRICS, warning, 'Any country aligning themselves with the Anti-American policies of BRICS will be charged an ADDITIONAL 10% tariff. There will be no exceptions to this policy.'

Musk is "completely off the rails" with his third party idea: Trump
Musk is "completely off the rails" with his third party idea: Trump

United News of India

time14 minutes ago

  • United News of India

Musk is "completely off the rails" with his third party idea: Trump

Washington, July 7 (UNI) The differences between Donald Trump and Elon Musk have widened further after the US President called Tesla chief's plans to form a new political party "ridiculous" and said that he is becoming a "TRAIN WRECK". In a post on his Truth Social platform, the Republican said the Tesla and SpaceX boss was becoming a "TRAIN WRECK" and that a third political party "never succeeds" in the US, referring to Mr Musk's "America Party". Musk announcing the formation of his own political party, which he called "America Party" is being seen as as the "latest nail in the coffin". Trump emphasized that a third party will just add to more confusion and moreover stating that the idea of a three party system has never worked in the United States. "I am saddened to watch Elon Musk go completely 'off the rails,' essentially becoming a TRAIN WRECK over the past five weeks. He even wants to start a Third Political Party, despite the fact that they have never succeeded in the United States - The System seems not designed for them," President Trump said. Defending two-party system in the country, Trump told White House reporters, "I think it's ridiculous to start a third party. he can have fun with it. We have a tremendous success with the Republican Party. The Democrats have lost their way, but it's always been a two-party system, and I think starting a third party just adds to the confusion." He said the one thing third parties are good for is the creation of "complete and total DISRUPTION and CHAOS, and we have enough of that with the Radical Left Democrats, who have lost their confidence and their minds!" In response to the businessman's criticism of the bill, Trump said that without subsidies he would have to "close up shop and head back home to South Africa." In his Truth Social post, President Trump also slammed Musk for opposing his "one big beautiful bill", which was signed into law last week. "Republicans, on the other hand, are a smooth running 'machine,' that just passed the biggest Bill of its kind in the History of our Country. It is a Great Bill but, unfortunately for Elon, it eliminates the ridiculous Electric Vehicle (EV) Mandate, which would have forced everyone to buy an Electric Car in a short period of time. I have been strongly opposed to that from the very beginning. People are now allowed to buy whatever they want - Gasoline Powered, Hybrids (which are doing very well), or New Technologies as they come about - No more EV Mandate," Trump wrote in his post. Musk said his new party would look to unseat Republican lawmakers in Congress in next year's midterm elections who backed the sweeping measure known as the "big, beautiful bill." Trump in his social media comments also said it was "inappropriate" to have named Musk ally Jared Isaacman as NASA administrator considering Musk's business with the space agency. "Additionally, Elon asked that one of his close friends run NASA and, while I thought his friend was very good, I was surprised to learn that he was a blue blooded Democrat, who had never contributed to a Republican before. Elon probably was, also. I also thought it inappropriate that a very close friend of Elon, who was in the Space Business, run NASA, when NASA is such a big part of Elon's corporate life. My Number One charge is to protect the American Public!," the US president wrote in his post. UNI AAB GNK 1056

Trump letters and who's talking: State of play as tariff deadline nears
Trump letters and who's talking: State of play as tariff deadline nears

Time of India

time16 minutes ago

  • Time of India

Trump letters and who's talking: State of play as tariff deadline nears

Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel U.S. President Donald Trump said on Sunday his administration is close to finalizing several trade agreements in the coming days and will notify other countries of higher tariff rates by July 9, with the higher rates scheduled to take effect on August promises to work on 90 deals in 90 days, Trump and his team have been able to complete only a limited deal with Britain and a not well-defined agreement with Vietnam. A long-promised deal with India has remained the state of play for several U.S. trading partners facing deadlines this week:U.S. officials said they were making good progress with the 27-member European Union, after its top trade negotiator Maros Sefcovic met with officials in Washington last week. EU diplomats said talks were continuing but they had not achieved a breakthrough as of EU diplomat said the bloc's regulations on social media and other technology companies, stricter than those in the U.S., were not up for negotiation, and a 17% tariff proposed by the U.S. side on agriculture and food exports remained a big officials have said they are open to a U.S. deal that would apply a universal 10% tariff on many of its exports, but want to secure exemptions from sectoral tariffs already in place or planned for pharmaceuticals, alcohol, semiconductors, and commercial aircraft, Bloomberg EU is also pushing for U.S. quotas and exemptions to effectively ease Washington's 25% tariff on automobiles and auto parts, as well as its 50% tariff on steel and aluminum, the report said, citing people familiar with the says it is continuing to seek an agreement with the U.S. while defending its national interest. Japan's tariff negotiator Ryosei Akazawa held "in-depth exchanges" over the phone with U.S. Commerce Secretary Howard Lutnick on Thursday and Saturday, the Japanese government discussions came after Trump this week hammered Japan over what he said was Tokyo's reluctance to import U.S.-grown rice, and accusing Japan of engaging in "unfair" autos trade. He has also called on Japan to import more U.S. Monday, Trump said Japan could be among those receiving a tariff letter, and suggested it could face duties of up to 35%.Trump has long promised a trade deal with India, but talks have stalled on disagreements over U.S. tariffs on auto components, steel and agricultural which is facing 26% tariffs on its exports to the U.S., has signaled it is ready to slash its high tariff rates for the U.S. but has not conceded on Washington's demands for opening up the agriculture and dairy Friday, New Delhi also proposed retaliatory duties against the U.S. at the World Trade Organization , saying Washington's separate 25% tariff on automobiles and some auto parts would affect $2.89 billion of India's has offered to cut duties on key imports from the United States to "near zero" and to buy $500 million worth of U.S. wheat as part of its tariff talks to avert a 32% tariff rate. State-owned carrier Garuda Indonesia also plans to buy more Boeing planes as part of a $34 billion pact with U.S. partners due to be signed this by some other countries of excessive red tape, Indonesia eased import licensing requirements for some goods and waived import restrictions on plastics, chemical products and other industrial raw materials on June 30, a goodwill gesture ahead of the July 9 deadline. Indonesia has also invited the U.S. to jointly invest in a state-owned Indonesian minerals project as part of its tariff frequent rounds of talks and some preliminary agreements, South Korea had said it would seek an extension on Trump's July 9 deadline, although talks will continue this Sung-lac, President Lee Jae Myung's national security adviser, plans to visit Washington during July 6-8 to discuss a range of bilateral issues. The country's trade minister, Yeo Han-koo was also due to meet with U.S. Trade Representative Jamieson Greer and other U.S. Korea already imposes virtually no tariffs on U.S. imported goods under a free-trade agreement, and so the U.S. has focused on other issues, including foreign exchange rates and defense costs. Trump often complains about the cost-sharing arrangement for the 28,500 U.S. troops stationed in South is making a last-ditch effort to avert a 36% tariff by offering greater market access for U.S. farm and industrial goods, along with increased purchases of U.S. energy and Boeing jets, Finance Minister Pichai Chunhavajira told Bloomberg News on proposals have included reducing its own tariffs, purchasing more American goods and increasing initial proposal included measures to enhance market access for U.S. exports and tackle transshipment violations, as well as Thai investment that would create U.S. jobs. Bangkok said also pledged to import more U.S. natural gas and cut tariffs on imports of corn from the United is exploring what concessions it can make to avert a 31% tariff rate on goods it ships to the U.S., including granting the U.S. greater market access for produce like seafood and citrus as home to pharmaceutical giants Roche and Novartis, both big U.S. investors, Switzerland also wants assurances that it can avert pharmaceutical tariffs that Trump has threatened to impose at a later date.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store