Washington: U.S. Treasury Secretary nominee Scott Bessent stated that the incoming Trump administration plans to use tariffs as a tool for addressing unfair trade practices and for negotiations. During his confirmation hearing at the Senate Committee on Finance, Bessent emphasized the strategic deployment of tariffs to protect American interests.
According to Yonhap News Agency, Bessent, who founded Key Square Group, a global investment firm, highlighted that South Korea and other U.S. partners are contemplating how to respond to President Donald Trump's proposed tariffs on foreign goods. Trump previously announced plans for blanket tariffs of 10 to 20 percent on all imports, with the possibility of up to 60 percent tariffs on Chinese goods, as part of his America First agenda.
Bessent explained that tariffs under the Trump administration would serve three purposes: remedying unfair trade practices by industry or country, potentially raising revenue for the federal budget, and serving as a negotiation tool. He mentioned that sanctions have been overused, potentially driving countries away from the U.S. dollar, and suggested that tariffs could be used in negotiations on issues like Mexico's fentanyl crisis.
He stressed the importance of using all available tools to rebuild the American economy and enhance competitiveness, addressing the "unfair distortions" in the international trading system. Bessent praised Trump as the first modern president to recognize the need for a change in trade policy to support American workers. He expressed eagerness to collaborate with Trump and the Senate committee if confirmed.
In November, Trump nominated Bessent, calling him a "strong" advocate of the America First agenda and promising a "new golden age" for the U.S. Bessent has a long history in investment management, is affiliated with the French Huguenot Church of Charleston, and holds a degree in political science from Yale University, where he also served as an adjunct professor.