Trump's Treasury Secretary wants taxes to rise every month to give businesses time to adapt.
Writes UNN with reference to FT.
Donald Trump's Treasury Secretary Scott Bessent is pushing for new universal tariffs on U.S. imports that would start at 2.5% and gradually rise, according to four people familiar with the proposal.
The 2.5 per cent levy will be increased by the same amount each month, giving businesses time to adjust.
A gradual introduction would be more moderate than the immediate action that some countries have feared.
Bessent's proposal comes as the Trump team is discussing how to implement the tariff plans and the president has stepped up his tariff rhetoric.
For reference
On Monday, the U.S. Senate confirmed billionaire hedge fund manager Scott Bessent as Treasury Secretary in President Donald Trump's administrationa. Scott Bessent was confirmed by the Senate on January 27, 2025, by 68 votes to 29.
During a recent hearing, the new head of the Treasury Department emphasized the need to carefully manage federal cash flows to avoid default and maintain economic stability.
The official advocated the use of tariffs as a tool to combat unfair trade practices, increase government revenues, and strengthen the United States' position in the international arena.
Bessent also dismissed fears that Trump's policies are inflationary, saying that Trump's actions to increase oil production could lower prices.
Recall
Canadian Prime Minister Trudeau said that Canada's "golden age of America" requires Canadian resources, not new tariffs. He warned of retaliatory measures if the US imposes restrictions on Canadian imports.
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