Cabinet Sweep Likely

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It looks as though President Trump's Cabinet will be confirmed as nominated, with the exception of Florida Congressman Matt Gaetz, currently the subject of  disciplinary proceedings by the Florida Bar.

Pam Bondi, Howard Lutnick and Scott Bessent appear to be tracking to confirmation, although Lutnick's confirmation paperwork is reportedly incomplete, creating a delay.

Attorney General-designate Pam Bondi faced rigorous questioning regarding her independence from President-elect Trump, given her prior role as his personal attorney during his 2020 impeachment trial. She pledged to uphold the rule of law and prevent the politicization of the Department of Justice.  The Senate Judiciary Committee is scheduled to vote on Bondi’s nomination on January 20, 2025. Given the Republican majority in the Senate, her confirmation is anticipated.

As of January 17, 2025, the Senate Commerce, Science, and Transportation Committee had not scheduled a confirmation hearing for Howard Lutnick's nomination as Commerce Secretary.  Given his enthusiasm for tariffs and cryptocurrency, Lutnick's hearings will be illuminating.

The nomination and confirmation of deputy secretaries, undersecretaries, and assistant secretaries proceed independently from the confirmation of the department’s secretary. The President can nominate individuals for these positions, and the Senate can confirm them based on their qualifications and suitability for their roles, regardless of whether the secretary has been confirmed.

Scott Bessent, nominee for U.S. Treasury Secretary, addressed issues concerning trade and sanctions during his Senate Finance Committee confirmation hearing on Thursday.

Bessent outlined a threefold strategy for implementing tariffs:

  • Addressing Unfair Trade Practices: He emphasized using tariffs to counteract inequitable trade actions by foreign nations, citing previous tariffs imposed on China and steel imports during President Trump’s first term.
  • Revenue Generation: Bessent suggested that tariffs could serve as a means to increase federal revenue, potentially offsetting costs associated with extending tax cuts.
  • Negotiation Leverage: He proposed employing tariffs as tools in negotiations, sometimes for objectives beyond trade, referencing recent tariff threats aimed at Canada and Mexico to address border issues.

Inflation Concerns: Addressing potential inflationary effects of a proposed 10% universal tariff, Bessent argued that currency adjustments and price reductions by foreign manufacturers would mitigate significant consumer price increases. 

China Trade Relations: Bessent committed to enforcing the Phase One trade agreement with China, aiming to ensure compliance with purchasing commitments for U.S. agricultural products. 

Russian Sanctions: Bessent advocated for more stringent sanctions targeting Russia’s energy sector to exert pressure regarding the Ukraine conflict. “I will be a 100% on-board for taking sanctions up,”  He told the Committee. “I believe that the sanctions were not fulsome enough."

Bessent expressed perplexity over the previous administration’s restraint in imposing such measures, suggesting that stronger sanctions could compel Russia to engage in diplomatic discussions. He indicated plans to implement tougher sanctions on Iran and Venezuela, aligning with the administration’s broader foreign policy objectives. 

During his Senate confirmation hearing, Sen. Marco Rubio, the President's nominee for Secretary of State, called for the continuation and potential expansion of sanctions, particularly targeting the energy sector, to pressure Moscow over its activities in Ukraine. He suggested that intensified sanctions could compel Russia to engage in diplomatic negotiations.

 

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