U.S. Treasury Secretary Scott Bessent flew to Florida on Sunday to urge President Donald Trump to focus his message on negotiating favorable trade deals rather than permanent tariffs, according to an exclusive report from Politico.
Bessent warned that markets would “keep melting” unless Trump shifted his stance to emphasize the endgame of his tariff strategy.
Newsweek reached out to the White House via email on Monday for comment.
Why It Matters
Bessent’s intervention represents the first known attempt by a senior administration official to modify Trump’s trade position. While Bessent has publicly defended the president’s tariff strategy, he privately suggested that markets would continue declining unless Trump clarified his desired outcome.
The president announced on April 2 that the U.S. would impose a 10 percent “baseline” tariff on virtually all imports and singled out roughly 60 countries for what he described as “discounted reciprocal tariffs.”
He explained that the “reciprocal” tariffs were based on levies those countries imposed on the United States. The numbers Trump cited, however, were inaccurate and the White House later clarified that the formula it used was based on just two variables: America’s trade deficit with a foreign country divided by that country’s exports to the U.S.
Trump then halved that number to arrive at his “discounted reciprocal tariff,” which he said he was doing to be “kind.”
What To Know
According to Politico’s sources, Bessent’s meeting with Trump came after approximately 50 countries had already reached out to discuss the new tariff regime announced on Wednesday, which Trump called “Liberation Day.” The Treasury secretary suggested the president emphasize how tariffs would lead to better deals for America and more American jobs.
The administration has shown mixed messaging, with Bessent announcing negotiations with Japan on Monday while trade adviser Peter Navarro published an op-ed in the Financial Times reinforcing a “no negotiations” stance. Trump has created confusion by discussing both “permanent tariffs” and “negotiations” simultaneously.
Wall Street has responded with significant volatility. Markets dropped for the third consecutive day on Monday, with the Dow Jones Industrial Average plunging as much as 1,700 points during trading before closing down 349 points (0.9 percent). The S&P 500 slipped 0.2 percent while the Nasdaq managed to edge up 0.1 percent.
Trump’s tariff plan includes a 10 percent baseline tariff on virtually all imports plus additional “reciprocal tariffs” on about 60 countries, with some facing particularly steep rates: China (34 percent), European Union (20 percent), South Korea (25 percent), Japan (24 percent), Taiwan (32 percent) and India (26 percent).
What People Are Saying
Trump told reporters on Monday: “We have many many countries that are coming to negotiate deals with us, and they’re going to be fair deals … Some of these tariffs are going to be permanent, and some of them may be up for negotiation.”
White House Press Secretary Karoline Leavitt told Politico: “Some of these tariffs are going to be permanent, and some of them may be up for negotiation. That doesn’t mean he’s going to strike a deal, but it means he’s willing to entertain one.”
Bessent, in a Fox Business interview with Larry Kudlow on Monday: “For countries that don’t retaliate, we are at a maximum tariff level. And it is my hope that, through good negotiations, all we will do is see levels come down. The negotiations are going to be tough.”
Trump wrote on Truth Social on Monday: “Countries from all over the World are talking to us. Tough but fair parameters are being set. Spoke to the Japanese Prime Minister this morning. He is sending a top team to negotiate! They have treated the U.S. very poorly on Trade. They don’t take our cars, but we take MILLIONS of theirs. Likewise Agriculture, and many other “things.” It all has to change, but especially with CHINA!!!”
What Happens Next
Bessent has indicated that negotiations with foreign countries could continue into June, with Trump personally involved in these discussions. The “reciprocal” tariffs are scheduled to take effect on Tuesday, triggering urgency for countries seeking to negotiate with the U.S. ahead of implementation.
Markets remain uncertain about the administration’s intentions, as evidenced by their fluctuations during Monday’s trading.
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