🔗 Share this article

Shutdowns are a repeat element of US politics – but this one feels especially difficult to resolve due to political dynamics and bad blood among the two parties.

Certain federal operations face a temporary halt, and about 750,000 employees are expected to be put on furlough without pay since both political parties remain unable to reach consensus on a spending bill.

Votes aimed at ending the impasse continue to fall short, and it is hard to see a clear resolution path this time because each side – as well as the nation's leader – perceive advantages in maintaining their positions.

These are the four ways that make this shutdown distinct in 2025.

1. For Democrats, it's about Trump – beyond healthcare issues

The Democratic base have insisted over recent periods for their representatives more forcefully fights the current presidency. Well now the party leadership has a chance to show they have listened.

Earlier this year, the Senate's top Democrat faced strong criticism after supporting GOP budget legislation thus preventing a shutdown in the spring. This time he's digging in.

This is a chance for Democrats to show they can take back certain authority from an administration that has moved aggressively on its agenda.

Refusing to back the GOP budget proposal comes with political risk as citizens generally may become impatient as the dispute drags on and impacts accumulate.

Democratic representatives are using the budget standoff to highlight concerns about ending healthcare financial support and GOP-backed federal health program reductions affecting low-income populations, both facing public opposition.

They are also trying to restrict the President's use of presidential authority to rescind or withhold money authorized legislatively, a practice demonstrated with foreign aid and other programmes.

2. For Republicans, they see potential

The administration leader along with a senior aide have openly indicated their perspective that they perceive an opening to make more of reductions to the federal workforce that have featured the current presidential term so far.

The President himself stated recently that the shutdown had afforded him a "unique chance", adding he intended to reduce funding for "opposition-supported departments".

The White House stated they would face the "unenviable task" of mass lay-offs to maintain critical federal operations if the shutdown continued. An administration spokesperson said this was just "budgetary responsibility".

The extent of possible job cuts remains unclear, but the White House have been consulting with the Office of Management and Budget, or OMB, under the leadership of the key official.

The administration's financial chief has already announced the suspension of federal funding for regions governed by of the country, including New York City and Illinois' largest city.

Third, Trust Is Lacking between both parties

Whereas past government closures have been characterised by late-night talks between the two parties in an effort to get federal operations, currently there seems minimal cooperative willingness for compromise presently.

Instead, there is rancour. Political tensions persisted recently, as both sides blaming each other for causing the impasse.

House Speaker from the majority party, accused Democrats of not being serious about negotiating, and holding out over a deal "for electoral protection".

Simultaneously, the Senate leader made similar charges at the other side, saying that a majority party commitment to discuss healthcare subsidies once the government reopens cannot be trusted.

The administration leader personally has inflamed the situation through sharing a computer-created controversial depiction featuring the opposition leader along with another senior opposition figure, where the representative is depicted with a large Mexican-style sombrero and a moustache.

The affected legislator and other Democrats denounced this as discriminatory, a characterization rejected by the administration's second-in-command.

Fourth, The American Economy is fragile

Analysts expect about 40% of government employees – more than 800,000 people – to be put on unpaid leave due to the government closure.

That will depress spending – with broader economic consequences, as environmental permitting, patent approvals, payments to contractors and other kinds of government activity connected to commercial interests cease functioning.

The closure additionally introduces fresh instability within economic systems currently experiencing disruption by changes ranging from trade measures, previous budget reductions, immigration raids and artificial intelligence.

Economic forecasters project that it could shave as much as 0.2 percentage points off US economic growth for each week it lasts.

But the economy typically recoups the majority of interrupted operations following resolution, similar to recovery patterns caused by a natural disaster.

This might explain partially why the stock market have shown limited reaction to the ongoing impasse.

Conversely, analysts say should administration officials implement his threat of mass firings, economic harm might become more long-lasting.