- Treasury data shows the US national debt tops $40 trillion.
- Vice President Vance said that Treasury Secretary Scott Bessent has a 'very discreet plan' to shrink the nation’s debt.
- Vance explained that Bessent's plan, supported by the president, aims to make the economy grow faster than the debt.
- Vance added that despite the high debt inherited from the Biden administration, the plan is on track to achieve faster economic growth than debt.
- Bessent noted there has been 'a lot of misinformation' about the deficit and the deficit to GDP ratio.
- Bessent said a temporary aspect of the debt comes from tariff refunds ordered by the Supreme Court in a February ruling against emergency tariffs from President Trump.
- Bessent said that U.S. Trade Representative Jamieson Greer will implement 'the same level of tariffs,' and expects 2026 tariff income to be roughly the same as in 2025.
Vice President Vance revealed that Treasury Secretary Scott Bessent has a 'very discreet plan' to tackle the national debt, which recently surpassed $40 trillion. Vance stated, “He [Bessent] has had a very discreet plan, of course, supported by the president of the United States, to get the United States to a point where our economy is growing faster than our debt.”
Bessent echoed this sentiment, asserting that the U.S. can “grow” its way out of the debt crisis, emphasizing that “there’s nothing magic about the $40 trillion number, and we can grow our way out of that.”
He also pointed out that misinformation regarding the deficit and its relation to GDP has clouded public understanding. Bessent noted that a temporary spike in debt is linked to tariff refunds mandated by a Supreme Court ruling against former President Trump’s emergency tariffs. He anticipates that “2026 tariff income is going to be roughly what it was in ’25.”
Vance concluded that despite the inherited debt from the previous administration, the current administration is on track to ensure economic growth outpaces debt increases, which he considers the most crucial aspect of their plan.
“Bessent attributes a temporary portion of the debt to Supreme Court-ordered tariff refunds from a February ruling against Trump's emergency tariffs. He expects 2026 tariff income to match 2025 levels, with U.S. Trade Representative Jamieson Greer implementing the same tariff level.”
