Ted Cruz Warns Of 2026 Political Bloodbath If Trump's Tariff Policies Spark Economic Recession

United States Senator Ted Cruz of Texas has issued a serious warning to Republican lawmakers, cautioning that former President Donald Trump’s ongoing tariff policy could lead to economic turmoil and political disaster during the 2026 midterm elections.

Speaking on his Verdict podcast, Cruz emphasized that if these tariffs—referred to by some in the administration as “liberation day” measures—trigger a recession, the Republican party could face severe consequences at the polls. He pointed out that prolonged tariffs may spark global retaliation, placing U.S. goods at risk of trade barriers from international partners.

“If these tariffs stay in place too long, we could see full-scale global trade retaliation. That means lost American jobs and deep damage to the U.S. economy,” Cruz said during the episode.

The Senator also warned of factions within the administration who appear to support indefinite tariff enforcement, expressing concern that such economic measures, if unchecked, may result in a serious economic downturn. He stated:

“A century ago, the U.S. didn’t have the same global leverage. Now, such prolonged policies could provoke serious backlash and long-term economic harm.”

Bipartisan Push to Reclaim Congressional Power Over Tariffs

Cruz’s warning follows new legislation introduced by Senator Chuck Grassley of Iowa, who is also a Republican. In a rare bipartisan move, Grassley, along with Democratic Senator Maria Cantwell, has proposed a bill that would restore congressional authority over tariff implementations. This bill has received support from notable Republican senators such as Lisa Murkowski, Mitch McConnell, Jerry Moran, and Thom Tillis.

The bill seeks to ensure that Congress plays a pivotal role in future U.S. trade decisions, thereby preventing executive overreach. For more on this legislation, see The Hill’s coverage on bipartisan tariff reform.

Cruz Predicts Potential Recession and Political Losses

Cruz believes that if retaliatory tariffs from global partners kick in while Trump’s “reciprocal tariffs” stay in effect, the U.S. could enter a “bad recession” ahead of the 2026 elections. In such a scenario, he warned:

“We could be staring at a Democrat-controlled House, possibly even a Democrat Senate. If voters are financially hurting, they usually punish the party in power.”

Although Cruz expressed hopes for the administration’s success, he clarified that his vision for economic victory differs from that of the current leadership.

“I want this strategy to work, but success shouldn’t mean triggering global trade wars that hurt Americans at home,” he said.

Final Thoughts

Senator Cruz’s remarks underline a growing ideological divide within the Republican Party regarding U.S. trade policy. While some support Trump’s hardline approach, others, like Cruz, are urging caution to avoid repeating history that could lead to political defeat and economic instability.

The Hill – Bipartisan Senators Challenge Executive Tariff Authority