Understanding the Impact of the 2026 Midterms

The 2026 midterm elections delivered significant gains for Democrats, who regained control of both chambers of Congress and will reshape the legislative agenda for the final two years of President Donald Trump’s term. While divided government will present challenges to passing major legislation, Democrats will have greater influence over federal spending, policy negotiations, and congressional oversight. From taxes and trade to healthcare, energy, automotive policy and artificial intelligence, the shifting political landscape could have far-reaching implications for businesses across industries. Dykema's Federal Government Policy team examines the election results, the upcoming lame-duck session, and the legislative and regulatory developments that could shape the business landscape over the next two years.

2026 Federal Midterm Election Overview