Scott Bessent, Secretary of the Treasury, speaks during the Economic Club of New York (Ecny) event in New York, USA, Thursday, March 6, 2025. Sanctions against Russia “will be used clearly and aggressively to immediately maximum influence,” Bessent said.
Victor J. Blue Bloomberg Getty images
Treasury Secretary Scott Bessent on Thursday offered a full throat defense of the White House position on tariffs, insisting that commercial policy must concern something more than just obtaining cheap items from other countries.
“Access to cheap goods is not the essence of American sleep,” Bessent said during a speech to the New York Economic Club. “American Dream is rooted in the concept that every citizen can achieve prosperity, upward mobility and economic security. For too long, designers of multilateral trade agreements have lost it out of sight. “
Notes came with the markets on the edge of how far President Donald Trump will go, trying to achieve his goals in the field of global trade. The supplies fell sharply on Thursday Despite the news about a certain administration movement for Mexican imports.
In a speech given to the crowd of leading economists, Bessent indicated that Trump is ready to take strong funds to achieve their trade goals.
“To the extent that the practices of another country will harm our own economy and people, the United States will answer. This is America's first trading policy, “he said.
Earlier that day Data of the Trade Department He emphasized how far the US lasted behind global trading partners. In January, the imbalance increased to a record -breaking $ 131.4 billion, which is an increase of 34% compared to the previous month and almost twice as much as a year ago.
“This system is not balanced,” said Bessent.
Economists and market participants are worried about this Trump tariffs will raise prices and slow growth. However, the White House officials point out that the tariffs did not inflation during Trump's first term, advertising the potential of growth from transformation, because companies want to avoid paying duties.
“I am not worried about inflation in the continuum,” said Bessent. He added that Trump considers the tariffs to be three benefits: as a source of income in which the United States conducts huge fiscal deficits, as a way to protect industries and employees against dishonest practices around the world, as well as “the third stage of the stool” because Trump “uses it for negotiations.”
The Thursday conversation was held by Larry Kudlow, the head of the National Economic Council during the first term of Trump.
In addition to the discussion about the tariffs, they both talked about deregulation, as well as about the troublesome debt and deficit load in front of which the government faces. The budget is already there $ 840 billion in a hole During the first four months of the 2025 tax year, because the deficit lasts above 6% as a share in the gross domestic product, a level practically unheard of in the expansion economy.
“It's a last chance bar and a grill to do this,” Bessent said about the application of a fiscal discipline. “Everyone knows what to do. Whether they have the strength of will to do this? “
Bessent was also in favor of a deep study of banking regulations, especially for smaller institutions, which, he said, are burdened with rules that do not help security.
As Bessent said, supplies increased the losses in a difficult week for Wall Street.
“Wall Street is great, Wall Street can still do well. But this administration concerns Main Street, “he said.