[Source / Observer Network, Ruan Jiaqi]

As the Trump administration's tariff policies create chaos, the fierce infighting within the administration has intensified. The Financial Times noticed on September 9th that Treasury Secretary Bessette's presence in Trump's tariff agenda has become more prominent.

The report noted that during the days before and after Trump announced the so-called "reciprocal tariffs," Bessette was once "invisible," overshadowed by White House Trade Czar Navarro and Commerce Secretary Luetnik, who are part of the hardline trade faction.

However, this week, as the stock market suffered an "epic" plunge due to the impact of the tariff policy, sparking opposition waves from Wall Street to Capitol Hill, Trump was forced to open the door for negotiations with some allies. Bessette, seen as a moderate, re-entered the fray.

According to British media reports, Trump has assigned Bessette to jointly lead negotiations with Japanese and South Korean counterparts alongside U.S. Trade Representative Jamie Greer. The latter two are expected to become the first American trading partners to reach tariff reduction agreements.

Meanwhile, Navarro, who previously expressed strong skepticism about the tariff negotiations, and Luetnik, who previously led foreign trade negotiations, have been temporarily "marginalized." Two foreign officials revealed that Luetnik recently told them clearly that he had not been authorized by Trump to engage in trade negotiations.

U.S. Treasury Secretary Bessette. Video screenshot

On Tuesday (August 8th), when walking into the U.S. Treasury Department, Bessette optimistically claimed that tensions between the U.S. and some of its allies would soon be alleviated. He told reporters, "I think you will see several major trading partners quickly reaching agreements."

Just two days prior (June 6th), this U.S. Treasury Secretary, who was previously reported by U.S. media to have been "marginalized" in tariff decisions, specially flew to Florida to persuade Trump to "make changes," focusing on negotiating "favorable trade agreements" to prevent market crashes.

British media mentioned that during Trump's first term, Bessette's predecessor, Steven Mnuchin, was the main trade moderate in the government, often restraining Trump's protectionist impulses and frequently clashing with Navarro. At that time, he, along with Robert Lighthizer, then U.S. Trade Representative, led the trade negotiations with China.

The report stated that in the new negotiations, Trump seemed to want to return to the model where the "treasury secretary and trade representative" take the lead.

A person familiar with the negotiation situation claimed, "Bessette and Greer are better at negotiations than stirring things up. They are rational 'traffic cops,' capable of easing tensions while securing acceptable substantive results."

However, British media believe that in Trump's more dogmatic second administration, whether Bessette can reassure investors and reach agreements with multiple countries remains in doubt. After all, the tone of this former hedge fund manager aligns with Trump's statements.

Despite rumors that he once considered resigning due to concerns over damaging market credibility, Bessette still strongly defended Trump's tariff policies verbally, claiming that even if costs were incurred, tariffs were still helpful in reshaping global trade and freeing the U.S. economy from reliance on cheap imports.

"People always feel that, given Bessette's (financial) background, he would be more liberal on trade issues. From another perspective, joining (Trump's) administration means he must agree with its established policies. He is well aware of his choice," said former Treasury official Mark Sobel.

In addition, critics accused the Trump administration of failing to explain the ultimate purpose of launching such a large-scale trade war. Now, showing signs of retreating on some issues, the uncertainty of these "back-and-forth" messages may also be beyond Bessette's ability to resolve.

"How tariffs are determined, what their intended purpose is, how long the measures will last, and whether they are a negotiation tool or an attempt to sever U.S. ties with global trade remain unclear," added Ron Wyden, Democratic leader of the Senate Finance Committee. "Since the announcement of the tariff policy, Trump and his advisors have repeatedly changed their statements on these issues."

People are always worried about Trump's flip-flopping. Sobel also complained, "Our impression is that whatever Trump says in any given day may depend on his last conversation. Perhaps he recently listened to Bessette's advice, but tomorrow he might listen to Navarro instead."

Navarro, however, argued that Trump's shift toward seeking negotiations does not contradict his stance on tariffs. In an email sent to the Financial Times, he said, "The context is important. I said, 'This is not a negotiation... but a state of national emergency... President Trump is always willing to listen,' and we acknowledge the feedback we receive."

British media also pointed out that Bessette's increasingly central role comes at a time of heightened tension within the White House. Particularly, the conflict between Musk and Trump's chief trade advisor, tariff supporter Navarro, has escalated further.

After mutual attacks over the weekend, the feud escalated. On April 8th, Musk again attacked Navarro as a "moron" and "not as smart as a bag of bricks." The White House had to mediate, hastily ending the "battle" between a "53-year-old middle-aged man" and a "75-year-old silver-haired elder" with a phrase, "boys will be boys."

According to U.S. Newsweek, the conflict between Musk and Navarro began when Musk blamed Navarro for Trump's tariff policy, and Navarro retaliated by calling him a "car salesman."

This may only be one manifestation of the growing fragmentation within Trump's internal team regarding tariff policies.

News site Semafor recalled that if asked about tariff negotiations, the U.S. Treasury Secretary, Commerce Secretary, White House Trade Advisor, and National Economic Council Director would provide four completely different answers: Luetnik insisted that Trump "would not back down"; Navarro argued that "negotiations are not currently taking place"; shortly thereafter, Bessette announced that negotiations with Japan would begin; Hastert then said that advisors would present Trump with a plan for tariff negotiations.

Semafor cited more than ten senators, lobbyists, and analysts, pointing out that these contradictory messages indicate fundamental disagreements within the U.S. government on how to address the trade deficit. Trump's advisors sound consistent in spirit on the trade agenda but are not so in execution.

According to Raymon James' Washington policy analyst Mills, it's now a tug-of-war between the "tariff team" and the "economic team." The former includes Luetnik, Navarro, and U.S. Trade Representative Greer, while the latter consists of Bessette and Hastert, among others, who are more sensitive to the market.

The report believes that Bessette may be successfully pushing the White House to seek negotiations to resolve the tariff issue. Most Republicans on Capitol Hill also support Bessette because he focuses on minimizing damage to Wall Street.

Nick Iacovella, executive vice president of the American Prosperity Alliance, said, "Hastert 'does not like tariffs,' and Luetnik is 'ideologically aligned with Trump rather than any agenda itself.' Bessette has no preferences regarding tariffs. I think he is more convinced that tariffs must become a tool."

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Original source: https://www.toutiao.com/article/7491195781044421147/

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