President Donald Trump has unveiled a proposed $5,000 “dividend” for every adult American, but only if Republicans secure control of both chambers of Congress in the upcoming US midterm elections.
Trump announced the idea at a Republican gathering in Dallas, Texas, promising supporters that Americans would receive the payment if the party wins control of the House and Senate.
“If the Republicans win the House of Representatives and the United States Senate, both of them,” Trump said, he would issue a $5,000 dividend to every adult citizen.
The proposal would represent a major federal expenditure. Based on an estimated adult population of almost 270 million, the total cost could approach $1.3 trillion if every adult received the full amount.
Despite the size of the proposed programme, Trump offered few details about its funding or administration.
Vice-President JD Vance said tariff revenues could provide the money needed for the payments. He argued that the administration’s trade policies were generating significant revenue that could ultimately be returned to American workers.
Trump has previously proposed a smaller $2,000 payment funded through tariff income.
The latest announcement, however, immediately raised questions about the legal authority for such a programme, the availability of sufficient funds and whether Congress would have to approve the payments.
Trump also said Americans should use the money domestically. He specifically objected to recipients spending the funds on products from countries including Canada, China and Germany.
How the government would enforce such a restriction was not explained.
Democrats have already criticised the proposal, describing it as an “empty promise” rather than a fully developed economic programme.
Trump’s announcement also comes at a difficult time for the US economy, with the ongoing conflict involving Iran affecting global energy markets.
The Strait of Hormuz, a critical route for international energy shipments, has been largely disrupted by the conflict. The waterway normally carries around 20% of global oil and liquefied natural gas supplies.
Higher oil prices have increased economic pressure on the Trump administration, while the president has maintained that the costs of confronting Iran are necessary to prevent Tehran from obtaining nuclear weapons.
Trump has also warned that the conflict could continue until after the midterm elections, raising further concerns about energy prices and household costs.
For now, the $5,000 payment remains a proposal rather than an approved federal programme. The White House has not released a detailed plan explaining how the money would be raised, who would administer it or what legal steps would be required to put the scheme into effect.
