Treasury nominee details economic reforms, trade tariffs, and tax priorities for new administration
Scott Bessent, chosen by US President-elect Donald Trump to lead the Treasury Department, vowed on Wednesday to maintain the dollar’s status as the world’s reserve currency.
Bessent outlined his vision for what he called a “new economic golden age” in prepared remarks, as reported by Reuters. He will face questioning before the US Senate Finance Committee on Thursday.
Bessent prioritised productive investments to drive economic growth over “wasteful spending that drives inflation.” He emphasised the need to secure vulnerable supply chains and carefully deploy sanctions as part of a comprehensive national security strategy.
He stated, “We must secure supply chains that are vulnerable to strategic competitors, and we must carefully deploy sanctions as part of a whole-of-government approach to address our national security requirements.”
Bessent also underscored the importance of ensuring that the US dollar remains the world’s reserve currency.
Bessent supported Trump’s plans to impose significantly higher tariffs on imports but did not mention China explicitly in his testimony.
However, he has previously criticised China’s trade practices, arguing they have undermined American industry.
Trump has proposed a 60 percent tariff on Chinese imports, a 10 percent duty on global imports, and 25 percent tariffs on imports from Canada and Mexico.
Trump tied the latter tariffs to efforts to stop illegal immigration and the flow of fentanyl into the US.
Bessent urged Congress to make the expiring provisions of Trump’s 2017 Tax Cuts and Jobs Act permanent.
He warned that failure to act would result in what he called “the largest tax increase in history, a crushing US$4tn tax hike.”
He also called on lawmakers to adopt “pro-growth policies to reduce the tax burden on American manufacturers, service workers, and seniors.”
Bessent pointed to Trump’s campaign promises, which include reducing the corporate tax rate to 15 percent from 21 percent for US-based manufacturers and exempting tips and Social Security income from taxation.
He expressed optimism that Congress could help deliver what he described as “a generational opportunity to unleash a new economic golden age.”
Bessent’s testimony set a clear tone for the administration’s focus on aggressive economic reforms and trade policies aimed at bolstering US economic and national security.
