U.S. Treasury Secretary Scott Bessent declared on Sunday that the U.S. economy faces no risk of recession in 2026, expressing strong confidence that President Trump’s tariff strategy, trade agreements, and the recently enacted “One Big, Beautiful Bill” will deliver noninflationary growth next year.
Speaking on NBC’s “Meet the Press,” Bessent said the administration has “set the table for a very strong, noninflationary growth economy” and predicted Americans will feel relief in 2026.
National Economic Council Director Kevin Hassett reinforced the upbeat outlook, telling Fox News that 2026 will be an “absolute blockbuster year” once new factories come online and manufacturing jobs materialize.
Bessent conceded that interest rate-sensitive sectors, particularly housing, have been in recession and that the 43-day government shutdown — the longest in history — inflicted an $11 billion permanent blow to the economy.
Recent data show factory activity slowing as tariff-driven price increases curb demand, while consumer surveys reflect frustration with persistent inflation, currently at 3% annually.
Bessent attributed inflation primarily to the services sector rather than tariffs, noted that it runs 0.5% higher in Democratic-led states, and pointed to falling energy prices and rising October home sales as positive signs.
The administration expects health care costs to decline soon and recently reduced tariffs on certain food imports.
Despite the optimistic forecasts, polls indicate widespread dissatisfaction: an NBC survey found two-thirds of registered voters believe the Trump administration has fallen short on the economy and cost of living, while a Reuters/Ipsos poll pegged Trump’s approval at 38%, its lowest level since his return to office.
In a separate move, Bessent published an opinion piece in The Washington Post urging Republicans to end the Senate filibuster, arguing it “no longer serves the country.”