Democrats’ strong performance in the midterm elections has been interpreted by industry leaders and policy experts as a voter rebuke of the Trump administration’s economic and trade agenda. The party took control of both the House and Senate, while Democrats also scored notable wins in gubernatorial and congressional races across states including Kansas, Georgia, Texas, Michigan and North Carolina.
Kansas Governor Laura Kelly told Sourcing Journal that the results reflected frustration with the cost of living, political turmoil and corruption. She said tariffs had become a particular concern in the agricultural state, where producers rely heavily on trade with Mexico and Canada. Kelly pointed to higher costs for diesel and farm inputs, as well as rising prices for fuel and everyday goods.
Steve Lamar, president and CEO of the American Apparel and Footwear Association, said tariffs were an election issue because voters associate them with higher prices. He noted that clothing and footwear costs had risen in recent years after a long period when prices were largely flat or falling. The sector’s expenses include transportation, cargo and energy costs, as well as import duties; Lamar said 97 percent of the sector’s goods are imported.
Lamar also said that refunds following the invalidation of some tariffs have not necessarily translated into relief for consumers, as companies have faced other duties or set aside funds for possible future tariffs. The resulting confusion, he said, can add to frustration with both businesses and government.
The election outcome could give congressional Democrats greater scope to pursue legislation challenging existing tariff powers, according to Josh Teitelbaum, senior counsel at Akin Gump Strauss Hauer & Feld. He cautioned, however, that the president is likely to retain significant influence over trade policy. Any legislation passed by Congress could also face a presidential veto.
Teitelbaum said Democrats may press forward with efforts such as the End Trump’s Tariff Tax Act, introduced by Senate Democrats in September. The proposal would address certain tariffs imposed under Sections 301 and 338 of existing trade laws. He expects similar initiatives to gain momentum in 2027, while noting that the president’s commitment to tariffs makes an immediate shift in policy unlikely.
Textile industry representatives described economic strains in manufacturing communities. Kim Glas, president and CEO of the National Council of Textile Organizations, said Democrats improved on their 2024 results in several textile-producing counties. She cited job concerns, higher operating costs and the closure of 44 textile plants over the past three years, which she said had affected local employment and tax bases.
Glas argued that the election should not be read as a wholesale rejection of tariffs, which she believes can help counter unfair trade practices. Instead, she called for Republicans and Democrats to work together on trade policy that delivers results and gives businesses and workers greater certainty.
Sources: WWD.