NEW YORK – Treasury Secretary Scott Bessent predicted Wednesday that the administration will still be able to implement tariff policy regardless of whether it wins a case pending before the Supreme Court.
Mr. Bessent reiterated arguments he made prior to a high court hearing a month ago, citing several provisions of the 1962 Trade Act that give the president sweeping authority over import tariffs.
“(Section) 301, 232 and 122 allow us to recreate the exact tariff structure,” he said in an on-stage interview at the New York Times’ Dealbook Summit.
Asked by host Andrew Ross Sorkin, founding editor of Deal Book and co-host of CNBC’s “Squawk Box,” whether the administration needs to make these measures permanent, Bessent replied, “Permanently.”
Section 122 allows for up to 150 days to charge, while Sections 301 and 232 have less specific time limits. Bessent also noted that the International Emergency Economic Powers Act provides broad customs powers, but its operation is under scrutiny by the Supreme Court.
President Donald Trump has used tariffs as a favorite negotiating tool with U.S. trading partners. The president imposed tariffs on a wide range of products and virtually all imports into the country, but many of the more aggressive measures were rolled back.
Bessent cited some of the successes his administration has enjoyed so far, citing China in particular, despite continued tensions between the two countries.
On trade, he said, “Thanks to the fentanyl tariffs, China is making unprecedented progress.” Bessent added that China has made “strong efforts” to block imports of the drug into the United States.
He added that he still believes there is a good chance that the United States will prevail at the Supreme Court.
Separately, Mr. Bessent dodged a question about Mr. Trump’s choice of the next Federal Reserve chairman, pointing out that central bank leaders have limited authority over interest rates. According to recent reports, National Economic Council Director Kevin Hassett is the frontrunner.
“The important thing to remember here is that this is a board of directors and there are several other voters from local banks,” he said. “The chair of the Federal Reserve has the power to speak and initiate debate, but at the end of the day, the chair has one vote.”
Bessent recently told CNBC that he believes Trump could make a decision by Christmas, but suggested the president may not be able to make a decision until the new year.
