Podcast Summary: Rep. Jason Smith Talks Tariffs, Trade Uncertainty

Podcast: Bloomberg Talks
Date: February 23, 2026
Host: Bloomberg
Guest: Rep. Jason Smith, Chairman of the House Ways and Means Committee

Episode Overview

This episode centers on the aftermath of President Trump’s recent 15% tariff announcement, the Supreme Court’s decision limiting presidential emergency powers on tariffs, and the growing uncertainty for trade policy in the U.S. Bloomberg’s host interviews Rep. Jason Smith, who discusses tariff impacts, legislative prospects, economic effects, party divisions, and current government funding battles.

Key Discussion Points & Insights

1. Tariff Revenue and Refunds

• The Supreme Court ruling doesn’t mean immediate tariff refunds.
• Tariffs generated significant revenue and fiscal impact:
  • “The tariffs that were in place would reduce the national [deficit] by $3 trillion.” (Smith, 01:46)
  • The administration will maintain similar tariffs using other statutory authority even after the Supreme Court’s decision.
• Legal proceedings on refunds will be lengthy:
  • “It’s going to be a process that’s going to take three to four years probably before it’s addressed.” (Smith, 02:45)

2. Ongoing Trade Uncertainty

• The Supreme Court’s lack of clarity adds to corporate America’s uncertainty.
• Smith argues there’s now more certainty with the likely lack of tariff refunds:
  • “There’s probably not going to be any refunds. I don’t see a pathway in Congress that there’s going to be refunds.” (Smith, 03:34)
  • Tariff revenue is expected to continue funding deficit reduction.

3. On Tariffs as Consumer Price Hike & Partisan Positions

• Smith notes the partisan and intra-party divides over tariffs:
  • “There’s not a uniform opinion of one party… there’s a bipartisan division when it comes to those different items.” (Smith, 04:26)
• He frames tariffs as benefiting U.S. manufacturers and farmers:
  • “Who benefited from tariffs was US Manufacturers and US Farmers.” (Smith, 04:26)

4. Legislative Action on Tariffs

• Ongoing work on trade policy and tariff codification.
• Recent legislative actions include extending trade preference programs for Haiti and Africa:
  • “We re-instituted and extended the Haiti and the AGOA Trade Preferences Program.” (Smith, 05:30)
  • Efforts continue to address issues like de minimis thresholds for imports, especially from China.

5. Deficit Reduction and Fiscal Concerns

• Tariff revenues alone not enough to offset exploding national debt.
• Fiscal discipline highlighted as a national security issue:
  • “We have to be looking at ways to trim the budget 24/7.” (Smith, 06:09)

6. Party Divisions and Government Shutdown

• Smith criticizes both Republican and Democratic divisions.
  • Remarks on Senator Paul not voting for the “big beautiful bill.”
  • “There’s bigger division in the Democrat Party… That’s why we’re in a government shutdown right now…” (Smith, 06:41)
• DHS funding impasse blamed on “unrealistic expectations” from Democrats:
  • “They’re the ones who shut down government. They need to come back to the table and make sure those TSA agents, the Coast Guard, the Secret Service, FEMA… have paychecks.” (Smith, 07:25)
• ICE remains funded despite government shutdown, countering rhetoric about defunding.

7. Midterm Elections, Immigration, and Party Narrative

• Host questions GOP narrative control as polls move against administration on key issues.
• Smith counters with anecdotal support from his district:
  • “People were very supportive of the president’s immigration policies…” (Smith, 08:44)

8. Expectations for the State of the Union

• Smith previews President Trump to tout:
  • Border security gains
  • Largest tax cut in U.S. history
  • No tax on tips or overtime, tax relief for seniors, expanded child tax credit, Trump investment accounts, 100% expensing
  • Low interest and gas prices; lowest murder rate since 1900; ending eight foreign conflicts
  • “What President Trump has done in his first year of office is more than what most presidents do in eight years.” (Smith, 09:27)

Notable Quotes & Memorable Moments

• On the impact of tariffs:
  “The tariffs that were in place would reduce the national [deficit] by $3 trillion, and that’s pretty substantial.”
  — Rep. Jason Smith, 01:46

• On the prospect of refunds:
  “It’s going to be a process that’s going to take three to four years probably before it’s addressed.”
  — Rep. Jason Smith, 02:45

• On congressional division so close to the midterm:
  “There’s not a uniform opinion of one party. In fact, you have Democrats that agree with Republicans and Republicans agree with Democrats on various aspects…”
  — Rep. Jason Smith, 04:26

• On fiscal priorities:
  “We have to be looking at ways to trim the budget 24/7.”
  — Rep. Jason Smith, 06:09

• On Democrats and the government shutdown:
  “They’re the ones who shut down government. They need to come back to the table and make sure those TSA agents, the Coast Guard, the Secret Service, FEMA… have paychecks.”
  — Rep. Jason Smith, 07:25

• On Trump administration’s first year achievements:
  “What President Trump has done in his first year of office is more than what most presidents do in eight years.”
  — Rep. Jason Smith, 09:27

Timestamps of Key Segments

• 01:46 – Smith on the importance of tariff-driven fiscal revenue
• 02:45 – Lengthy legal uncertainty about potential tariff refunds
• 03:34 – Smith: Corporate America should not expect refunds; deficit impact continues
• 04:26 – Discussion on consumer prices, bipartisan tariff divides
• 05:30 – Recent and ongoing trade legislation efforts highlighted
• 06:09 – The need for ongoing deficit reduction and fiscal vigilance
• 06:41 – Commentary on party divisions and government shutdown details
• 07:25 – Smith on DHS funding stalemate and assigning blame to Democrats
• 08:44 – Midterm electoral outlook and constituent feedback
• 09:27 – Preview of President Trump’s anticipated State of the Union highlights

Summary

This episode offers an insider’s view from Rep. Jason Smith on the volatile state of U.S. trade and tariff policy in 2026 following the Supreme Court’s pivotal ruling. Smith is notably skeptical about the prospects of tariff refunds, emphasizes the bipartisan nature of tariff debates, and blames Democrats for the DHS shutdown. He eagerly previews President Trump’s anticipated highlights for the State of the Union while defending his trade, tax, and immigration records. The conversation highlights both legislative gridlock and deep divides in Washington amid a heated pre-midterm climate.