Treasury Secretary Scott Bessent defended the White House’s position on tariffs, stating that access to cheap goods is not the essence of the American dream. He emphasized that trade policy should prioritize prosperity, upward mobility, and economic security for all citizens.
Bessent, speaking to a crowd of leading economists, warned that strong measures may be taken by President Donald Trump to achieve his global commerce goals. The Treasury Secretary stressed that if another country’s practices harm the US economy and people, the US will respond under its America First Trade Policy.
Commerce Department data revealed that the US has fallen behind its global trading partners, with a record $131.4 billion trade imbalance in January, up 34% from the previous month and nearly double from last year. Bessent called this system unsustainable.
While economists worry about tariffs increasing prices and slowing growth, White House officials point to potential growth benefits from reshoring and avoiding duties. Bessent said he’s not worried about inflation, attributing three benefits to Trump’s tariffs: revenue source, protecting industries and workers from unfair practices, and “the third leg to the stool” in negotiations.
Bessent also discussed deregulation and the need for fiscal discipline, emphasizing that this is a last chance to impose order. He advocated for a deep examination of bank regulations, particularly for smaller institutions burdened by excessive rules.
Despite Bessent’s comments, stocks fell further, adding to losses in a tough week for Wall Street. However, the Treasury Secretary concluded that while Wall Street can continue to thrive, this administration is focused on Main Street.
Source: https://www.cnbc.com/2025/03/06/treasury-secretary-bessent-says-the-american-dream-is-not-about-access-to-cheap-goods.html