On Sunday, Treasury Secretary Scott Bessent praised new inflation figures showing a key indicator falling to its lowest level in four years. He presented the data as evidence disproving critics who predicted that President Trump’s tariffs would cause a sharp rise in prices.
In a conversation with Margaret Brennan, anchor of CBS’s Face the Nation, Bessent gently challenged her earlier doubts about inflation. In March, Brennan had referenced studies from the Peterson Institute and other organizations forecasting that tariffs would increase inflation.
“Margaret, back in March, you anticipated significant inflation. That simply hasn’t occurred,” Bessent said firmly while discussing whether retailers might cut inventory or raise prices.
Treasury Secretary Scott Bessent praised the latest inflation data, suggesting that tariffs might not have the severe impact economists anticipated.
On Sunday, Brennan challenged Bessent with a recent Wall Street Journal article by well-known Republican strategist Karl Rove, who analyzed the economics of tariffs and cautioned they might jeopardize the GOP’s control of Congress.
In response, Bessent pointed out, “The inflation numbers are the best we’ve seen in four years. So instead of speculating about what might happen, why don’t we wait and see what actually does?”
On Sunday, Brennan confronted Bessent with a recent Wall Street Journal article by prominent Republican strategist Karl Rove, who examined the economic impact of tariffs and warned they could threaten the GOP’s hold on Congress.
Bessent responded, “The inflation numbers are the best we’ve seen in four years. So rather than speculate on what might happen, let’s wait and see what actually unfolds.”
Last month, consumer prices increased by 2.3% over the year in April, down slightly from 2.4% in March, marking the slowest year-over-year rise in more than four years, according to the Labor Department’s consumer price index.
April also coincided with President Trump’s announcement—and subsequent pause—of much of his planned “Liberation Day” tariffs. Many economists argue that the full effects of those tariffs have yet to be felt in the U.S. economy.
During her March interview with Bessent, Brennan cited studies predicting that tariffs would drive prices higher. Bessent dismissed one such report from the Peterson Institute as “alarmist.”
The Treasury secretary faced tough questions from CBS about the possible effects of tariffs.
During the interview, Bessent defended the Trump administration’s plan to appoint an affordability czar tasked with addressing “five or eight areas where this administration can make a big difference for working-class Americans.”
On Sunday, the Treasury secretary also commended the administration’s efforts to lower prices on energy, eggs, and food. He referenced a South China Morning Post report that estimated Chinese suppliers might have to absorb up to 66% of the tariff costs.
Bessent further explained that the administration aims to “de-risk” from China by pursuing a new trade agreement with Beijing. However, he acknowledged last week that negotiations with China have been “a bit stalled.”
Treasury Secretary Scott Bessent emphasized that the Trump administration aims to “de-risk” its economic ties with China.
“What we’re trying to do is de-risk. We don’t want to decouple, Margaret, but we do need to de-risk,” Bessent explained. “As we saw during COVID, whether it was with semiconductors, medicines, or other products, we are actively working to reduce those risks.”
“China is withholding products essential to the industrial supply chains of India and Europe, which is not the behavior of a reliable partner.”
