Republicans aren’t happy about this.
President Donald Trump’s latest economic gamble is shaking up the Republican Party — and some conservatives are asking if it’s a bold act of leadership or a dangerous step toward government control.
In a stunning move, Trump directed the U.S. government to take a 10 percent stake in troubled chip developer Intel, backed by more than $11 billion in taxpayer-funded grants. The deal could be the first of many, as Trump signaled he’s willing to strike similar agreements with other American companies.
Conservatives Clash Over Trump’s Bold Intel Deal
For years, Republicans proudly defended the free market and condemned government takeovers as “socialism.” But Trump’s Intel move has split conservatives right down the middle:
- Sen. Rand Paul (R-Ky.) called it a “terrible idea” and a “step in the direction of socialism.”
- Rep. Warren Davidson (R-Ohio) cautioned that the United States cannot hope to beat China by simply copying China’s model.
- Free-market think tanks like the Cato Institute cautioned that Intel may now face political pressure depending on which party controls Washington.
National Security vs. Free Market
Others in the GOP defend Trump’s action, saying national security comes first.
- Sen. Eric Schmitt (R-Mo.) argued that letting Intel collapse would leave America vulnerable and dependent on China.
- Populist economists added that temporary equity stakes can protect industries vital to U.S. defense and technology.
This argument strikes a chord with many voters who fear America’s reliance on foreign supply chains.
Trump and the Left: An Unlikely Alliance
In a rare twist, Bernie Sanders praised Trump’s Intel deal. The socialist senator and the America-First president now stand on the same side of a policy that blurs the lines between free markets and government intervention.
Trump, never shy about critics, brushed off complaints:
“You do have stupid people say, ‘Oh, that’s a shame.’ It’s not a shame. It’s called business.”
History Repeats: Bailouts and Buyouts
This isn’t the first time Washington has taken ownership of private companies:
- In 2008, the government took a 60% stake in General Motors, costing taxpayers over $11 billion.
- The feds also grabbed 92% of AIG, later selling at a $22 billion profit.
- Just this year, the Pentagon bought 15% of MP Materials, a rare-earth mining company vital to defense.
These examples highlight the thin line between smart national investment and long-term government overreach.
What It Means for the GOP
Trump’s decision has forced Republicans to ask a tough question:
- Is this a patriotic strategy to keep America strong against China?
- Or is it a dangerous slide toward socialism that conservatives once fought against?
Either way, the GOP is being reshaped. Trump’s America-First economic vision may redefine the Republican Party for decades — but at the cost of its traditional free-market identity.
