Bessent: Nothing has changed on revenue, trade deals
TL;DR
Treasury Secretary Bessent stated that tariff revenue will remain stable in 2026 despite a Supreme Court ruling invalidating IEEPA-based tariffs, as the administration plans to use alternative authorities like Sections 122, 232, and 301 to sustain trade policies.
Bessent: Nothing has changed on revenue, trade deals
Treasury Secretary Bessent Affirms Tariff Revenue to Remain Stable in 2026 Despite Supreme Court Ruling
U.S. Treasury Secretary Scott Bessent stated on February 20, 2026, that revenue from tariffs is expected to remain "virtually unchanged" in 2026, even after the Supreme Court invalidated President Donald Trump's use of the International Emergency Economic Powers Act (IEEPA) to impose tariffs. The ruling, issued earlier that day, curtailed a key legal tool underpinning Trump's trade policies. However, Bessent emphasized that the administration would leverage alternative statutory authorities to sustain tariff revenue and enforce trade measures according to Treasury Secretary Bessent.
Bessent outlined plans to utilize Section 122, 232, and 301 authorities—Congressional provisions enabling tariffs for national security and trade remedy purposes—to replace IEEPA-based duties. "Treasury's analysis indicates that these mechanisms will ensure tariff revenue remains stable," he said during remarks to the Economic Club of Dallas according to Bloomberg. He reiterated that "no one should expect a decline in tariff revenue," underscoring the administration's commitment to maintaining trade policies as a cornerstone of its economic agenda according to Bessent.
The Supreme Court's decision had raised questions about the viability of Trump's tariffs, which accounted for a significant portion of federal revenue. However, Bessent's remarks signaled confidence in the administration's ability to adapt. Section 232 and 301 tariffs, which target national security and unfair foreign practices, respectively, have already been deployed on goods such as steel, aluminum, and Chinese imports. Section 122, a newer tool, grants broad authority to impose tariffs for "economic security" reasons according to Treasury analysis.
Beyond tariffs, Bessent's speech touched on broader economic priorities, including financial sector deregulation and a reorientation of international trade policies under the Trump administration's "America First" framework according to U.S. Treasury Press Release. However, he did not address potential long-term implications of the Supreme Court ruling for trade negotiations or multilateral agreements.
The Treasury Secretary's comments reflect a strategic shift toward reinforcing existing trade tools while navigating legal constraints. With 2026 revenue projections unchanged, the administration aims to sustain its tariff-driven approach to reshoring industries and addressing perceived imbalances in global trade according to Bloomberg analysis.
Bloomberg, Marketscreener: Bloomberg, Marketscreener
U.S. Treasury Press Release: U.S. Treasury Press Release
