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Trump to use tariff revenue to fund moms and babies program as shutdown drags on

ByJai HamidJai Hamid
2 mins read
  • Trump is using tariff money to temporarily fund WIC during the government shutdown.

  • WIC was about to run out of federal money, risking cuts for 7 million mothers and children.

  • It’s unclear how much will be spent, how fast states will get the money, or if it’s even legal.

The Trump administration is planning to use tariff revenue to keep a key food aid program for mothers and babies in American from running dry as the government shutdown stretches into another chaotic week, breaking a record.

According to Karoline, the president plan to redirect millions of dollars collected through tariffs to temporarily fund the Special Supplemental Nutrition Program for Women, Infants and Children, better known as WIC, before it collapses from a lack of federal money.

Karoline Leavitt, the White House press secretary, said Tuesday that “the Trump White House will not allow impoverished mothers and their babies to go hungry because of the Democrats’ political games.”

WIC, which helps families buy formula, fruits, vegetables, baby food, yogurt, bread, cheese, and more, was expected to run out of money this week.

In past shutdowns, the program leaned on emergency reserves to stay afloat, but this time around, things are far more fragile. Some states had already started planning to use their own funds to cover the program temporarily, with the hope of getting reimbursed later once Congress gets its act together.

States face delays as White House rushes to plug the gap

Now WIC supports around 7 million people across the country, though only half of those who qualify are actually enrolled. And while the program has enjoyed strong bipartisan support since it was created, cracks have started to show.

The White House’s 2026 budget plan includes cuts to the popular fruit and vegetable benefits, and House Republicans’ agriculture bill has floated similar reductions.

Even as Trump moves to hold the line with tariff cash, Georgia Machell, who heads the National WIC Association, said the situation is full of holes.

“Families need long-term stability, not short-term uncertainty. We still don’t know how much funding this measure provides, how quickly states will receive it, or how long it will sustain operations,” Georgia said in a public statement on Tuesday.

Some states were already preparing for the worst before the Trump announcement. The U.S. Department of Agriculture (USDA) had informed them last week that they wouldn’t receive their regular quarterly allocation of WIC funds for fiscal year 2026.

In the meantime, the USDA said it could release up to $150 million in contingency funds to states with critical shortfalls, and told states to also use infant formula rebates or local dollars to fill any gaps.

Critics question legality of tariff plan

But not everyone is sold on the legality of Trump’s plans. Chris Towner, a budget policy director at the Committee for a Responsible Federal Budget, told CNN that:- “The problem isn’t that they don’t have the money, it’s that Congress hasn’t told them they can spend it.”

That comment raises bigger questions about whether the administration can keep WIC running on tariff funds alone without breaking spending laws.

Meanwhile, more families are joining WIC every year as states and the federal government have made it easier to enroll and recertify, and improved the overall shopping experience. On top of that, inflation, especially around food prices, has been crushing low-income households.

Surging costs of groceries and other essentials have pushed more American families to depend on government aid like WIC just to survive, but that .

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Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Jai Hamid

Jai Hamid

Jai Hamid has been covering crypto, stock markets, technology, the global economy, and the geopolitical events that affect markets for the past 6 years. She has worked with blockchain-focused publications including AMB Crypto, Coin Edition, and CryptoTale on market analyses, major companies, regulation, and macroeconomic trends. She has attended London School of Journalism and thrice shared crypto market insights on one of Africa’s top TV networks.

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