Trump Targets $5 Billion in Foreign Aid, Threatens Shutdown

US President Donald Trump has proposed cuts amounting to nearly $5 billion in foreign aid, a move that significantly raises the risk of a federal government shutdown later this year. The White House confirmed that the reductions primarily affect programs run by the Department of State and the United States Agency for International Development (USAID). In a letter addressed to the House of Representatives, Trump emphasized his commitment to prioritizing American interests, stating that he “will always put AMERICA FIRST.”

Democratic leaders have expressed strong opposition to the proposed cuts, warning that reversing funding already approved by Congress could jeopardize ongoing negotiations aimed at preventing a budget impasse. Chuck Schumer, the Senate Democratic minority leader, criticized Trump’s legislative tactic, known as a pocket rescission, labeling it illegal. He remarked, “It’s clear neither Trump nor Congressional Republicans have any plan to avoid a painful and entirely unnecessary shutdown.”

Opposition to the cuts also emerged from some moderate Republicans, who voiced concern over disrupting funding that had already been sanctioned by lawmakers. Despite this dissent, a White House official maintained that the administration possesses a “solid legal basis” for the cuts and suggested that any legal challenges would not succeed.

Impact on USAID and Global Aid Efforts

The proposed cuts would see $3.2 billion slashed from USAID, which has already faced significant reductions in its programming since Trump’s administration began. Under the leadership of Secretary of State Marco Rubio, the agency has been integrated into the State Department, with an estimated 85 percent of its programming eliminated. Rubio supported the latest move by stating it is part of a broader effort to “root out fraud, waste, and abuse from the US government, saving American workers billions of dollars.”

Research published in the journal The Lancet in June suggested that previous funding cuts to USAID could lead to the preventable deaths of more than 14 million vulnerable people globally, a third of whom are small children. The new cuts also propose to eliminate $838 million earmarked for peacekeeping operations, prompting concern from the United Nations. Spokesman Stephane Dujarric cautioned, “This is going to make our budget situation or liquidity situation that much more challenging.”

Potential Consequences of a Government Shutdown

Following his inauguration for a second term in January, Trump initiated a broad campaign to downsize various government functions. Although Republicans control both chambers of Congress, they require Democratic support in the Senate to enact new spending laws. The President’s strategy aims to retract the $4.9 billion late in the fiscal year, potentially leaving Congress with little time to respond before the funding expires next month.

The last government shutdown was narrowly averted in March, with lawmakers reaching an agreement just hours before funding lapsed. Shutdowns, while infrequent, carry significant disruptions and costs. Essential services, such as food inspections, could come to a halt, while parks, monuments, and federal buildings may close. During such shutdowns, up to 900,000 federal employees may be furloughed, while another million, including air traffic controllers and law enforcement personnel, are required to work without pay until normal operations resume.