The director of the National Economic Council, Kevin Hasett, defended the recently presented 50% tariff of President Donald Trump against Brazil, the second largest commercial partner of the United States, saying that the measure is part of the broader global tariff strategy of the administration.
Speaking with the co-presenter of “This Week” of ABC News Jonathan Karl, Hasset said that the president has the authority to impose new tariffs if he believes that there is an emergency of national defense or a threat of national security, although Trump’s letter to Brazil highlighted the criminal case in its way against his political ally, former President Jair Bolsonaro.
“So how is a national security threat … How Brazil is handling a criminal case against its former president?” Karl asked.
“Well, that’s not the only thing,” said Hasett.
The director of the National Economic Council, Kevin Hasett, speaks with journalists outside the White House, on March 7, 2025 in Washington.
Anna Moneymaker/Getty Images
“The conclusion is that what we are doing absolutely, collectively in all countries is that we are clorting production in the United States to reduce the national emergency, that is, we have a mass commercial deficit that is putting us at risk if we need production in the US. UU. Due to a national security crisis,” he added.
“But again, as we have just established, we have a commercial surplus with Brazil, not a deficit,” Karl said.
“If you observe a general strategy, if you do not have a general strategy for this, then there will be transmission and everything else, and will not achieve your goals,” said Hasett.
Pressing by Karl on Trump’s recent criticism to the president of the Federal Reserve, Jerome Powell, Hasset echoed the criticisms of the White House on the recent cost overruns in the renewal of the headquarters of the Fed Washington, DC.
“I think that if the president decides to advance on that path or will not depend much on the answers we have to the questions that [Office of Management and Budget Director] Russ Vought sent to the Fed, “Hassett said when asked if cost overruns could be used as a pretext to say goodbye to Powell.
“Yes or without an answer. The president, in his opinion, does the authority to fire the Fed chair have?” Karl asked.
That is something that is being looking for, “said Hassett.” But certainly, if there is cause, it does. “
Here are more outstanding aspects of the Hassett interview
On new tariffs with the European Union and Mexico
Karl: So let me ask him, because what we hear from Europeans and Mexicans is that they were in the midst of these negotiations, since this was happening, so this is a negotiation tactic, or these tariffs are real?
Hassett: These, well, these rates are real if the president does not reach an agreement that he thinks is good enough, but, you know, the conversations are in progress and we will see where the dust is based. The conclusion is that President Trump has produced a lot of rates income with the rates we have seen in the first half of the year. The Congress Budget Office has said that tariff income in the next 10 years will help reduce the deficit and ensure our law programs is $ 3 billion and consumers have not seen that.
You know, the inflation of the consumer price index at this time is the lowest that has been in more than a decade. So, what President Trump has always said is that foreign suppliers, foreign governments will support most rates. It is being seen visibly, and I think that is probably affecting its negotiation position because we have all this empirical evidence that its position has proven to be correct in the data.
On copper rates
Karl: Let me ask you about the 50% rate that the president has imposed on copper imports. Copper, of course, is widely used in construction, industrial manufacturing, cars, mobile phones and the like. This is what the Wall Street Journal had to say about these rates: “Mr. Trump will make the companies of us pay 50% more for a vital metal while waiting for five or more years for us. What is your response to the Wall Street Journal?
Hassett: Good. The conclusion is that if there is a moment of war, then we need to have the metals we need to produce American weapons, and copper is a key component in many American weapons sets. And so, while we expect the threats facing the United States, the president decided that we have a lot of copper in the United States, but not enough copper production. And that’s why he has taken this strong step.
Karl: But is you worried about the effect of the highest prices of copper before American manufacturing can catch up?
Hassett: The fact is that the effect you are only discussing is something that you mentioned that economists said they were coming all year, these effects and inflation are very down. In fact, inflation in the US is correct at the same level as in Europe.
