Donald Trump has put forward the nomination of Scott Bessent to head the US Treasury Department, a position recognised for its significant influence over tax policy, public debt management, international finance, and the enforcement of sanctions.
The conclusion of the selection marks the end of a lengthy decision-making process for the president-elect as he works to form his team for a second term.
Bessent, a financier with a background on Wall Street and previous experience under George Soros, emerged as an early supporter of Trump’s 2024 campaign, presenting a resume that aligns with traditional expectations for the position.
The nomination of the 62-year-old on Friday evening initiated a wave of cabinet announcements and White House appointments, bringing Trump’s top team nearly to completion as he prepares for his return to the presidency in January.
In a recent announcement on Truth Social, Trump praised Scott, highlighting him as a leading figure in international investment and geopolitical and economic strategy.
“He has consistently championed the America First Agenda,” he stated, noting that Bessent would “endorse my policies aimed at enhancing US competitiveness and addressing unfair trade imbalances.”
Bessent has publicly expressed his desire to prolong the tax cuts implemented during Mr. Trump’s initial term in office.
The President-elect’s campaign agenda includes the contentious issue of import tariffs, which he has defended as a “useful negotiating tool.”
During her campaign, Bessent conveyed to voters that Trump would bring about a “new golden age characterised by deregulation, affordable energy, and reduced taxes.”
A Friday flurry
On Friday, former President Trump announced the nomination of Republican Congresswoman Lori Chavez-DeRemer for the position of US Labour Secretary. He emphasised her potential to enhance wages, improve working conditions, and revive manufacturing jobs in the country.
A 56-year-old representative from Oregon garnered significant backing from trade unions but faced a narrow defeat in her re-election attempt earlier this month. As a result, her nomination will not influence the Republican majority in the House starting in January.
In a subsequent announcement, he revealed his nomination of Scott Turner to head the Department of Housing and Urban Development. A former NFL player and motivational speaker, he has also held a position in the Texas House of Representatives.
In a recent announcement, Trump revealed a lineup of senior health appointments, endorsing Fox News contributor Dr Janette Nesheiwat for the position of Surgeon General and former Florida Congressman Dr Dave Weldon as the new Director of the Centres for Disease Control and Prevention (CDC).
Russell Vought has been appointed Director of the US Office of Management and Budget, responsible for determining policy priorities and funding allocations.
Vought, who was involved in Project 2025—a proposal outlining priorities for a potential second Trump presidency by the conservative Heritage Foundation—maintained the same role during Trump’s initial term in office.
The president-elect has revealed the appointments of Alex Wong and Sebastian Gorka to critical positions within the White House, both of whom previously held roles during Trump’s first term.
How will Bessent lead US Treasury?
Should the Senate confirm his nomination to head the Treasury Department, Bessent will likely find himself quickly embroiled in the ongoing debate in Washington regarding the extension of the tax cuts implemented during Trump’s first term.
Trump has proposed significant alterations to trade policy, advocating for extensive tariffs on all imports entering the nation.
These concepts have sparked concern among conventional economic and corporate sectors.
In a recent interview with Fox News, Bessent emphasised that his primary focus, should he join the administration, would be to prevent the scheduled expiration of tax cuts at the end of next year.
“He cautioned that if it does not come to fruition, it would mark the largest tax increase in US history.”
In various instances, Trump has preferred supporting candidates with limited experience, prioritising loyalty and a strong belief in their commitments over traditional qualifications.
However, he seems more reluctant to challenge the status quo at the Treasury Department, an essential intermediary between the White House and Wall Street. This department plays a vital role in various functions, including tax collection, bank supervision, sanctions imposition, and US government debt management.
In his announcement, Trump stated that Bessent would play a crucial role in addressing the unsustainable trajectory of Federal Debt. The longstanding concern has been a focal point for traditional Republicans; however, financial markets perceive a rise in debt as a potential risk should Trump secure a second term.
Originally from South Carolina, Bessent gained prominence in the 1990s by betting against the British pound and Japanese yen during his tenure with Soros, a significant contributor to the Democratic Party.
In 2015, he launched Key Square Capital Management, a fund recognised for its investment strategies rooted in overarching economic policy considerations.
In 2011, he and his husband, who previously served as a prosecutor in New York City, tied the knot and are now parents to two children. He has gained recognition for his philanthropic efforts in South Carolina, where his family has established deep roots.
Bessent has come to the defence of tariffs, a cornerstone of Trump’s protectionist policies, asserting that the criticism against them is based more on political ideology than well-reasoned economic analysis.
He has described Trump’s backing of border taxes as a strategic negotiating tactic, implying that the president-elect may not be fully dedicated to significantly increasing tariffs.
His position positions him as more moderate compared to other candidates considered for the treasury role.
Bessent has consistently advocated for Trump’s support of the cryptocurrency sector. If implemented, this support would mark the first time a treasury secretary has openly endorsed cryptocurrency, signalling that Trump is committed to positioning the United States as the “crypto capital of the planet”.
