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Trump seeks pledge that his Treasury secretary will enact tough tariffs

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Donald Trump’s advisers have sought assurances from the top candidates to be Treasury secretary that they are committed to his sweeping tariffs plans, people familiar with the discussions said.

The pressure from Trump’s circle comes as Scott Bessent, the hedge fund manager, and Howard Lutnick, the chief executive of financial firm Cantor Fitzgerald and co-chair of Trump’s transition team, are locked in a tight battle for the top economic cabinet post in the next administration.

Trump has announced a string of jobs over the past week in the areas of national security, justice, health and energy but has held back on making any decisions on the top economic positions amid fierce jockeying over the roles.

Bessent appeared to be the frontrunner for the job of Treasury secretary but then Lutnick emerged as a rival with the backing of Elon Musk, the billionaire investor who has become part of the president-elect’s inner circle.

Musk, who sat next to Trump at a UFC championship fight in New York on Saturday night, wrote on X that “Bessent is a business-as-usual choice, whereas @howardlutnik will actually enact change”. 

Bessent and Musk had a conversation about the issue on Saturday following the tweet, according to one person familiar with the situation. 

People close to the process said that other contenders might also emerge as dark horses.

Several people familiar with the discussions inside Trump’s team said Robert Lighthizer, who served as US trade representative in the first administration, had previously expressed interest in becoming Treasury secretary. 

The push for assurances on Trump’s tariff agenda has been particularly heavy on Bessent because of his previous comments in The Financial Times describing them as “maximalist” positions that were negotiating tools with trading partners.

It reflects a desire among Trump’s aides not to repeat the dynamic on trade of his first administration, in which Steven Mnuchin, then Treasury secretary, frequently sought to tame the tariff plans for fear of disrupting markets.

The tariff has long been central to Trump’s plans to boost US manufacturing, create jobs and lower prices.

He has described it as the “most beautiful word in the dictionary” and the “greatest thing ever invented”. He has also billed such levies as an effective way to cover the costs of other pillars of his economic agenda, including steep tax cuts for Americans. 

In addition to 60 per cent tariffs on all Chinese imports, Trump has floated a universal tariff of up to 20 per cent on all goods coming into the US. 

Whoever Trump selects as his Treasury secretary will be instrumental — along with the top US trade official — to both put these policies into action as well as manage the economic ramifications. 

Since Trump was elected, Bessent has been on the defensive about his commitment to enacting the president’s economic vision. Bessent’s critics seized on his comments to the FT as a sign he would be soft on the issue.

In an opinion piece for Fox News published on Friday, Bessent doubled down on his support, saying tariffs are “a means to finally stand up for Americans”.

In the days since his election, Trump has made a flurry of nominations, at least one of which could face a fierce confirmation battle in the Senate. 

Some Republicans have objected to the nomination of Matt Gaetz, the former Florida congressman, for US attorney-general.

The US House of Representatives has investigated Gaetz for alleged ethics breaches, including sexual misconduct, drug use and the acceptance of gifts, allegations he has denied. Lawmakers are tussling over the release of Congress’s investigative report now that Gaetz has resigned from the House.

Markwayne Mullin, the Republican senator from Oklahoma who has criticised Gaetz for his alleged misconduct, on Sunday told NBC that Congress should “absolutely” release the report and that the Senate “should have access to that”.  

Mike Johnson, the Republican speaker of the House, reiterated his opposition to releasing the report, insisting that once Gaetz resigned from the chamber it no longer had jurisdiction on the issue.

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