Historic U.S. Government Shutdown is Over. What Now?

The U.S. government shutdown is over.
More than a million federal workers will receive their pay again, airports are returning to normal operations, weapons deliveries are resuming, and the world’s leading military and economic power is moving back toward full capacity.

What this means for your organisation:

• Expect continued tension and timing risk, especially for U.S. regulatory decisions.
• If you’re a federal contractor (or subcontractor), map out your exposure to payment delays, contract insecurities, etc., in case of another shutdown.
• Consider whether another shutdown in 2026 would affect your organisation in terms of travelling in the U.S., supply chains reliant on any government inspection, port of certification, and the risk of a lesser demand from the average U.S. consumer.

Why is this relevant to you?
For Danish companies, the direct impact has been limited – unless you sell directly to the U.S. federal government. However, the shutdown has:

• Paused or slowed work in key agencies like the NIH, CDC, Commerce, and others, while more than 900,000 federal workers were furloughed, and around 2 million worked without pay.
• Export control, sanctions, and foreign investment agencies (e.g., BIS, OFAC, CFIUS) operated with reduced capacity, delaying licensing and reviews.

The shutdown also generated increased insecurity and friction:

• Thousands of cancelled and delayed flights
• Delays in government services and approvals
• Unpredictable timelines for regulatory processes and government clearances
• Slowed U.S. GDP growth
• Increased insecurity in the market and consumer confidence

This has particularly hit U.S., exports, especially in the defence sector, which are reliant on Senate approval of exports, and delayed weapons exports to NATO allies and partners.

What now
Federal employees are back to work with immediate effect. So, delays in governmental approval processes, flight controllers, and other relevant areas are rescinded immediately. For members of the American Chamber of Commerce in Denmark, these are the main areas to keep an eye on:

• Normalisation of regulatory reviews (permits, licences, approvals)
• Grant programmes and certain public tenders
• Day-to-day interaction with federal agencies for compliance and enforcement

The next date to keep an eye on: January 30, 2026

• Most of the federal government is only open until then, and the Democrats have not received their wish for an extension of the ACA subsidies.
• This means that another shutdown showdown remains a possibility in 2026 (the midterm elections), which creates an incentive for both parties to seek political advantage.