US Treasury Secretary Scott Bessent has rejected claims that President Donald Trump’s sweeping tariffs amount to a hidden tax on American consumers. In a televised interview, Bessent argued that despite warnings from major corporations, the broader economy continues to perform strongly.
Bessent dismissed concerns raised by companies such as John Deere, Nike, and Black & Decker, who have warned of billions in annual losses due to tariffs. He pointed to strong GDP growth of 3.3% and record stock market highs as evidence that tariffs were not harming the US economy. “If things are so bad, why is the economy expanding?” he said, insisting the administration supports both large and small businesses.
When pressed on whether tariffs drive up prices for American households, Bessent responded, “No, I don’t.” Economists, however, estimate that the levies could cost families an average of $2,400 annually, with stagnant wage growth further straining households.
Manufacturing has shown signs of weakness since the tariffs were introduced. The US has lost 42,000 factory jobs since April, while job openings and hires have also declined. Bessent downplayed the short-term losses, arguing that new manufacturing growth will take time to materialize. “By the fourth quarter, we’re going to see a substantial acceleration,” he predicted.
Despite a federal appeals court ruling that Trump overstepped his authority in imposing tariffs, Bessent expressed confidence the Supreme Court will side with the administration. He acknowledged that a loss could force the government to refund about half of the tariff revenue but insisted, “This isn’t about the dollars. This is about balance.”
