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MLB news: Tigers, Tarik Skubal fail to reach deal, face record $13 million cap hit

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The Detroit Tigers and star pitcher Tarik Skubal did not come close to a 2026 contract agreement before Thursday’s 8 p.m. ET deadline, setting up a hearing.

Skubal, 29, is seeking a record $32 million in salary settlement while the Tigers are countering with $19 million. The $13 million difference is a record if the case goes to trial.

The two sides can settle at any time before the arbitration hearing, which is scheduled between Jan. 26 and Feb. 13. Players with more than three years of service time can use arbitration to negotiate their salaries for the next season, while Skubal has more than five years.

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Detroit Tigers starting pitcher Tarik Skubal (29) reacts after giving up a hit against the Minnesota Twins in the fourth inning at Target Field in Minneapolis, Minnesota, on Aug. 14, 2025. (Photos by Jesse Johnson/Imagn)

However, the large gap between the two sides is adding to speculation that the Tigers could trade the two-time reigning American League Cy Young winner. The Tigers only have Skubal under control for one season and could trade him now and get a big return instead of letting him walk next season in free agency if they choose not to re-sign him.

The $13 million gap between the two sides could now foreshadow what potential contract negotiations might look like between baseball’s best player and the Tigers.

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Tarik Skubal looks on the field

Tarik Skubal of the Detroit Tigers looks on before the game against the Cleveland Guardians at Progressive Field in Cleveland, Ohio, on September 30, 2025. (Photos by Grace Hoppel/MLB via Getty Images)

If Skubal wins the case, he will break the record for arbitration-eligible pitcher and set the record for highest-paid arbitration-eligible player. David Price currently holds the record for hitters with a $19.75 million contract with the Tigers in 2015.

Juan Soto set the record for the highest-paid player eligible for arbitration in 2024 when he agreed to a one-year, $31 million deal with the New York Yankees.

Last season, the Tigers and Skubal settled on a $10.15 million contract to avoid a hearing.

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Tarik Skubal ends the inning against the Orioles

Detroit Tigers pitcher Tarik Skubal (29) looks on during the seventh inning against the Baltimore Orioles at Oriole Park at Camden Yards in Baltimore, Maryland, on July 12, 2025. (Daniel Kucin Jr./Imagn Images)

Skubal was the Tigers’ best hitter last season, going 13-6 with a 2.21 ERA in 31 starts in 195.1 innings pitched. A combination of his high-90s fastball and a wicked change-up led to the southpaw hitting 241.

In 2024, when Skubal won his first Cy Young Award, he went 18-4 with a 2.39 ERA in 192 innings with 228 strikeouts.

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