U.S. Determination on Greenland and European Security
Scott Bessent stated on NBC that Europe lacks the capacity for self-defense, which is the reason Donald Trump, currently serving his second term as president, is pursuing the acquisition of Greenland. Bessent emphasized that the United States will not relinquish its efforts.
He asserted that while Europe may present a strong stance, it does not possess the necessary strength to safeguard critical territories.
Dismissal of EU Threats and Trump's Use of Emergency Powers
Scott Bessent dismissed the European Union's threats to obstruct a tariff agreement established last year, noting that the deal is not finalized and remains subject to modification. He explained that Trump is utilizing emergency powers to compel these outcomes.
“First of all, the trade deal hasn’t been finalized, and an emergency action can be very different from another trade deal,” Scott said on Meet the Press. He added that Trump “leverages his emergency powers to do this.”
Trump's Tariffs and Bessent's Defense of Legal Authority
President Trump announced a 10% tariff on goods originating from eight European nations, set to take effect on February 1. This tariff is slated to increase to 25% in June if a deal contingent on the purchase of Greenland is not reached.
French President Emmanuel Macron deemed the tariff unacceptable and indicated he would urge the EU to deploy its most potent retaliatory measures. Scott Bessent expressed no concern regarding this potential response.
During the same television appearance, Scott Bessent expressed strong doubt that the Supreme Court would block Trump's invocation of emergency powers to implement tariffs. A decision is anticipated as early as this week. “I believe that it is very unlikely that the Supreme Court will overrule a president’s signature economic policy,” Scott stated. “They did not overrule Obamacare. I believe that the Supreme Court does not want to create chaos.”
He referenced a court ruling from June that upheld a crucial provision of the Affordable Care Act, which established a panel to recommend preventive care services that insurers must cover without cost. Bessent cited this as an example of the court's reluctance to destabilize significant policies.
“The national emergency is avoiding a national emergency,” Scott explained. He posited that Trump is employing economic leverage to avert military conflict. He framed the situation concerning Greenland as part of a broader strategic initiative that encompasses Arctic competition, a proposed Golden Dome missile defense system, and past European dependence on Russian energy. He argued that this energy dependency has contributed to the funding of Russia's conflict with Ukraine.
When questioned whether Trump's approach toward Europe was a negotiation tactic, Bessent asserted that the president's course of action is not subject to change. “Europeans project weakness, US projects strength,” he remarked. He further stated that Trump believes enhanced security is unattainable without Greenland becoming a part of the United States.
Federal Reserve Candidates and Oversight
Scott Bessent also discussed the Federal Reserve, expressing confidence that the Senate would be amenable to any of the four candidates being considered to succeed Fed Chair Jerome Powell. “I believe we will probably be hearing from the banking committee soon,” Scott commented.
He advocated for increased oversight of the Federal Reserve, highlighting its independent authority to print money. Last week, Bessent publicly criticized the Justice Department's decision under Trump to initiate a criminal investigation into Powell, drawing a clear distinction between oversight and prosecution.