Bessent Reportedly Says Trump Was 'Right' On Tariffs, Notes His 'Maximalist' Approach Gave Leverage In Trade Negotiations

• Bessent gave an example of the tariffs imposed on Japan, which were eventually reduced to 15%, compared to President Donald Trump’s threat of a 35% levy.
• The Treasury Secretary stated that the President had a much higher risk appetite than he does.
• He also added that China is on track to keep “every part” of the trade agreement that it reached with the U.S. in November.

Treasury Secretary Scott Bessent reportedly said on Wednesday that President Donald Trump was “right” with his tariff policy and the approach he took.

Speaking during The New York Times DealBook Summit 2025, Bessent acknowledged that his views on tariffs have evolved since 2024. “I’ve had an open mind, and I’ve evolved on this, and the president has been right,” he said.

Bessent added that while he initially favored smaller incremental tariffs, President Trump went in with a “maximalist” position. “That is actually what gave us the leverage in negotiations,” the Treasury Secretary added in the interview.

Maximalist To Start Negotiations

Bessent gave an example of the tariffs imposed on Japan. While President Trump initially threatened the Asian country with 35% tariffs in July, he announced a month later that Japanese imports would carry a 25% levy.

Eventually, the Trump administration announced an agreement with Japan in September, applying a baseline 15% tariff on nearly all goods imported from the country into the U.S.

“The President has a much higher risk appetite than I do,” Bessent said during the interview.

China On Track, Says Bessent

Bessent stated during the interview that China is on track to keep “every part” of the trade agreement that it reached with the U.S. in November.

He said China was on schedule to complete its commitment of purchasing 12 metric tons of soybeans, adding that this would be finished by February 2026.

The Treasury Secretary also said that President Trump had “normalized” the idea of a global U.S. tariff of 15% to 20%.

Meanwhile, U.S. equities gained in Wednesday’s midday trade. At the time of writing, the SPDR S&P 500 ETF (SPY), which tracks the S&P 500 index, was up by 0.29%, the Invesco QQQ Trust ETF (QQQ) rose 0.11%, while the SPDR Dow Jones Industrial Average ETF Trust (DIA) gained 0.65%. Retail sentiment around the S&P 500 ETF on Stocktwits was in the ‘bullish’ territory.

The iShares 7-10 Year Treasury Bond ETF (IEF) was up by 0.14% at the time of writing.

Also See: ADP Data Shows Unexpected Decline In Private Payrolls In November, Small Businesses Pull Back Sharply

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