The Trump administration is weighing a major restructuring of the U.S. Agency for International Development (USAID), potentially placing it under State Department control, sources revealed. Discussions led by the National Security Council have explored legal avenues for President Donald Trump to issue an executive order ending USAID’s independence, though it remains unclear if he has the authority to bypass Congress.
Elon Musk’s Department of Government Efficiency has also been involved in the talks, visiting USAID’s headquarters. The move, if finalized, could significantly alter U.S. foreign aid distribution, aligning it with Trump's "America First" policy and reducing taxpayer costs. USAID has historically provided humanitarian assistance to countries lacking U.S. diplomatic ties, a function that may be lost if its mission is dictated by political priorities.
Trump’s freeze on foreign aid has already disrupted global humanitarian efforts, endangering jobs and essential programs, from refugee health services to landmine clearance. In 2023, the U.S. allocated $72 billion to global aid, covering healthcare, clean water, and anti-corruption initiatives, representing 42% of UN-tracked humanitarian assistance in 2024.
A recent executive order led the State Department to halt most foreign aid, except emergency food assistance. Secretary of State Marco Rubio later granted a waiver for life-saving humanitarian aid amid growing concerns that the freeze could have deadly consequences.
Former USAID officials warn that integrating the agency into the State Department would be a “seismic shift,” sidelining humanitarian priorities in high-level policy decisions. With Trump yet to appoint a USAID administrator, fears are mounting that the agency’s autonomy could soon be dismantled.