Where the DHS shutdown could start to hurt
The Economist
February 23, 2026
AI-Generated Deep Dive Summary
The Department of Homeland Security (DHS) shutdown, now in its second week, is poised to spark growing public concern as its consequences become more apparent. With the State of the Union address approaching under unusual circumstances—amid a partial government closure, an amassed military force in the Middle East contemplating an attack on Iran, and a Supreme Court ruling against President Trump's signature tariff policy—the shutdown adds another layer of complexity to an already tense political landscape.
The DHS shutdown, stemming from a lack of funding agreement between lawmakers, has far-reaching implications. Beyond border control and airport security, DHS oversees critical operations like drug interdiction and cyber threats. The longer the shutdown persists, the more it strains public safety and disrupts business operations reliant on secure supply chains and transportation networks.
For businesses, the DHS shutdown could lead to significant economic consequences. Companies dependent on imports and exports face potential delays, increased costs, and security vulnerabilities, which could ripple through industries reliant on global trade. Additionally, the political instability surrounding the shutdown may deter foreign investment and create uncertainty in international relations.
The convergence of these factors during Trump's State of the Union address highlights the growing urgency for a resolution. As public patience wanes and the economic stakes rise, the shutdown may soon prompt broader backlash, underscoring the need for lawmakers to navigate the impasse effectively.
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Originally published on The Economist on 2/23/2026