Donald Trump is shocked to know that MLB still doesn’t have a salary cap. And his stance comes at a time when team owners are strongly advocating for one, giving them added leverage in future labor negotiations.

MLB proposed a system featuring a $245.3 million salary cap and a $171.2 million salary floor. The MLBPA rejected that idea, but Trump’s comments could influence the broader debate and potentially shift the dynamics between the two sides.

“If you don’t have a salary cap, you don’t have a sport… They had a chance to implement one a long time ago, but they blew it.” Trump answered a question raised by Outkick’s Dan Zaksheske.

MLB has been operating without a salary cap since 1903. But Trump was caught by surprise, asking if they “sort of ” had one. He was informed that despite not having a salary cap, MLB does have a luxury tax. But the POTUS seemed not impressed by it. He was referring to other leagues like the NHL, NFL, and NBA, as they all have a salary cap in place except MLB. MLB commissioner Rob Manfred is also pushing hard to make MLB a “sport” like other leagues. It still triggers the fear of a 1994 work stoppage risk that was the first season in MLB history played without a World Series.

As per the team owners, unlimited spending by high-revenue teams hurts competitive balance. Thus, it requires a salary floor and cap system. On the other hand, the MLBPA considers a salary cap a “non-starter.” As per them, it unfairly limits earning potential and penalizes teams willing to invest in better players. And in view of this, Manfred has publicly admitted concern that the stark division over the cap risks repeating the 1994-95 strike.

“Of course I do,” Manfred said on Wednesday, fearing a potential lockout.

Last time when MLB had a lockout back in the 1994-1995 season, a total of 948 regular season games were lost along with the entire 1994 postseason. Surely the players would also not like to have a lockout, but for them, a salary cap is non-negotiable. However, it remains to be seen if Trump’s support for a salary cap alters the concerns of the MLBPA.

Till then, the debate around whether an NBA-style salary cap is applicable in MLB will continue.

MLB is different from other sports leagues

While Donald Trump generalized the salary cap, MLB stands out from other sports leagues in terms of implementing the salary cap.

In the NBA, a team features a 15-player roster where one or two superstar players can completely alter a franchise’s championship trajectory. A cap ensures one wealthy team cannot simply collect every top superstar. The NBA team owners have the chance to retain their top name, whom they have developed. On the other hand, MLB requires a 26-man active roster plus extensive minor league development systems.

Because a single baseball player only bats once every nine innings and a starting pitcher only plays every five days, spending is distributed across dozens of players. For instance, the Mets splashed $765 million on Juan Soto. But that’s still not enough to guarantee a playoff berth for them. They need to spend more on other positions, which would shoot up their planned salary cap.

Also, MLB depends immensely on local media revenue. Big-market teams like the Los Angeles Dodgers can generate nearly $1 billion in total revenue, while small-market teams like the Pirates generate a fraction of that. So, setting a single cap or salary floor is financially unviable for small-market owners without massive changes to revenue sharing.

Nevertheless, the debate around the salary cap would only get intense hereon.