A report on remarks made by Republican Senator Ted Cruz highlighted concerns over potential economic repercussions and political fallout from former President Donald Trump’s tariffs. Cruz issued a warning about a possible “bloodbath” for the Republican party in the 2026 midterm elections if the US economy enters a recession due to these tariffs.
Cruz, who generally aligns with Trump, expressed grave concerns on his Verdict podcast regarding a comprehensive trade war. He predicted a “terrible” impact on the US economy if Trump’s tariffs, along with any retaliatory measures against American goods, persist over the long term. This statement marked one of the most severe warnings from within Trump’s party since the onset of the tariffs, which triggered a global market downturn.
Republican legislators have begun voicing worries over the economic consequences of the tariffs and the potential effects on their efforts to maintain control of Congress in the 2026 midterms. Such concerns intensified as the American public saw approximately $5.4 trillion in stock market value disappear during a two-day Wall Street downturn.
On Thursday, Senator Chuck Grassley, a Republican, introduced a bipartisan bill aimed at reasserting congressional oversight of tariff policies. The proposed legislation suggests that new tariffs would expire after 60 days unless Congress approves them, and it provides a mechanism for lawmakers to revoke tariffs at any time.
The bill gained further support on Friday with Republican senators Lisa Murkowski, Mitch McConnell, Jerry Moran, and Thom Tillis joining as co-sponsors. Although the bill appears largely symbolic, it signals growing discontent among Republicans about the trade policy’s impact on export-dependent constituencies and their re-election prospects.
Signs of voter dissatisfaction emerged earlier in the week when a conservative candidate, backed by Elon Musk, lost a state supreme court seat in Wisconsin to a liberal opponent. Additionally, Republicans did not perform as strongly as expected in two special House elections in Florida.
Cruz cautioned that if Trump’s tariffs and any retaliatory tariffs endure and lead to a recession, the GOP could face a significant political defeat in 2026, potentially losing control of the House and the Senate to Democrats. Even with a 53-47 majority in the Senate, Cruz noted that during a recession, the ruling party often suffers electoral losses.
While President Trump believed that tariffs would lead to economic growth, Cruz suggested that a major economic boom would only occur if both the US and retaliating countries lowered their tariff rates. Conversely, widespread retaliatory tariffs coupled with Trump’s policies could have detrimental effects, potentially escalating into a full-blown trade war that would harm job creation and inflate the US economy, according to Cruz.
