"The Secretary of the Treasury nominated by the USA has undoubtedly become the most prominent official in the cabinet, with every word and action receiving high market attention.

According to the Wall Street Journal, after being nominated by Trump as Secretary of the Treasury, Bassett stated in his first media interview that his policy focus would be on fulfilling Trump’s various promises regarding tax cuts, including making the first-term tax cut policy permanent, and eliminating taxes on tips, social security benefits, and overtime pay.

He also indicated that he would focus on advancing tariff policies and cutting spending while "maintaining the dollar's status as a global reserve currency." What specific policies are there? In simple terms, it is "3-3-3."

"3-3-3" strategy

The "3-3-3" policy advocated by Bassett is to reduce the budget deficit to 3% of GDP by 2028, achieve 3% GDP growth through deregulation, and increase oil production by 3 million barrels per day or the equivalent in energy.

In terms of economic growth, Bassett advocates for achieving a 3% real economic growth target through deregulation, expanding us energy production, and controlling inflation.

Bassett emphasized, "The goal is to let the private sector take over and replace the currently expanded government spending." He believes that the policy direction of the Biden administration has suppressed private investment willingness.

In terms of deficit control, Bessent stated that he will urge Trump to "publicly express a desire to reduce the deficit to 3% of GDP before the end of his term." Bessent added:

"Trump did not allow the deficit to reach 6% or 7% of GDP; his first term's average federal budget deficit was 4% of GDP, so (during this term) it should be reduced to 3%."

In terms of energy policy, he views increasing crude oil product production as a key means to curb inflation expectations, advocating for an additional 3 million barrels of oil or equivalent energy production per day.

In terms of tariff policy, Bessent tries to downplay Trump's trade threats. In response to concerns from Wall Street that comprehensive tariffs could trigger a trade war and ultimately lead to higher prices for US consumers, Bessent replied that Trump's tariff threats are a negotiation strategy aimed at obtaining concessions from other countries:

"Tariffs are the starting point for negotiating with trade partners... fundamentally, he is a free trader."

There is analysis suggesting that Bessent will open the "Mnuchin 2.0" era, as Mnuchin could not stop all tariff policies, but he knew where the red lines were and ensured smooth running of the US debt market. The market expects the new government's fiscal policy to take a gradual approach, implementing tariff policies in phases, rather than as aggressively as promised during Trump's campaign.

Bessent has become a favorite of Trump.

Now Bessent has become a key member of Trump's inner circle, providing more insights into Trump's economic proposals while defending Trump's more proactive trade policies.

Trump once said that among all the candidates for Treasury Secretary, he trusted Bissent more, believing he could better implement the government's new policies.

After announcing the final candidate last Friday, Trump stated:

Bissent is respected by everyone and is one of the most important investors and geopolitical economic strategists in the global market... He will help lead the usa into a new gold era.

Editor/rice