- The Treasury Secretary said “strategic uncertainty” was a tactic As the US is engaged in talks over Trump administration’s tariffs, too much certainty claims that other countries can “play us in negotiations.” That’s when businesses, trade partners and financial markets have endured whiplash from whip-free tariffs.
Treasury Secretary Scott Bescent has suggested that the Trump administration’s tariff Zig-Zags is a feature rather than a bug.
Between CNN Interview The state of the Union It aired on Sunday, when he was asked about whiplash from tariffs not covered by the president, and replied that the administration’s negotiation tactics were “strategic uncertainty.”
“If we give too much certainty to other countries, they’ll play us in negotiations,” explained Bescent. “I am sure at the end of these negotiations, both retailers, Americans and American workers will be better.”
Since President Donald Trump launched the trade war, he repeatedly imposed sudden tariffs, and then put them on hold or partially rewind them soon after.
It was on display recently on Monday when the US and China agreed to cut their respective obligations for 90 days.
More whiplashes could continue amid talks over so-called mutual tariffs that Trump revealed on “Liberation Day.”
On Friday, Trump said the US cannot negotiate with all countries hit by tariffs, so some trading partners will know in a letter what rates they will face in a few weeks.
Bescent said on Sunday that countries that are not negotiating in good faith will see tariffs return to levels of release dates. He added that there are 18 “important” trading partners that the US focuses most, but there are more small things that “we can come up with numbers.”
“My other feeling is that we do business in a lot of regions. “This is the Central American rate, and this is the rate in this region of Africa,” added Bessent.
Returning to tariff levels on April 2, financial markets are likely to decline, and Trump recovers as he continues to soften his stance on tariffs. However, China’s taxes, even if they drop from 145% to 30%, are still at historically high levels.
When asked about the impact of tariffs on small businesses that rely on Chinese imports, Bescent told CNN that the US “continues to trade with China on the kind of products these small businesses are talking about at lower tariff levels.”
Meanwhile, Trump took a hardline against Walmart on Saturday. He posted about the true social that retail giants need to “eat tariffs” rather than raise prices.
Bescent spoke with CEO Doug McMillon on Saturday, telling CNN that Walmart “will absorb some of the tariffs and some may be handed over to consumers.” A person who knows the situation said luck That Cole was scheduled before Trump’s post and was not a response to it.
Walmart declined to comment. On Thursday, executives told analysts they were doing everything they could to absorb tariffs, but higher prices were inevitable.
In another interview with NBC’s Meet the pressBescent said he did not put any pressure on the Walmart chief during their call.
“Doug and I have such a good relationship, so I just wanted to hear that from him, not from the second and third hand in the press,” he said. “This is all from their revenue calls, and revenue calls require you to provide the worst-case scenario.”
This story was originally featured on Fortune.com.
