Scott Bessent told a group of investors that he expected trade tensions with China to de-escalate.
Treasury Secretary Scott Bessent said on Tuesday that he thought an extension of President Trump’s 2017 tax cuts could be complete as soon as July 4 and that the administration would then shift its attention to deregulation.
His comments, which were made during remarks at a private JP Morgan investor event, outlined how he expected Mr. Trump’s economic agenda to play out for the rest of the year.
The comments came as policymakers around the world gathered in Washington for the spring meetings of the International Monetary Fund and the World Bank at a time of heightened anxiety over rising trade tension. The I.M.F. downgraded its outlook for growth globally and in the United States as a result of the tariffs that Mr. Trump has imposed on America’s trading partners.
Mr. Bessent, who is negotiating trade deals with several countries, suggested that the uncertainty over trade could subside in the coming months and that the administration would be able to focus on other priorities. He has made the case that trade is just one part of an economic agenda that will stimulate economic growth and make the U.S. economy less reliant on government spending.
The Treasury secretary said he believed that the House could pass tax legislation by Memorial Day and that the entire bill could be finalized by early July.
“I’m optimistic, maybe we can have the tax bill done by 4th of July,” Mr. Bessent said, according to a person in the room who spoke on condition of anonymity to discuss a private event. “It’s sequencing, tariffs, tax bill — some certainty on that, then deregulation was always going to take longer.”