Treasury Secretary Scott Bessent has clarified that billions of dollars collected from new U.S. import tariffs will be funneled toward reducing the national debt rather than distributed directly to Americans as rebate checks.
In an interview on CNBC’s Squawk Box, Bessent dismissed proposals from some lawmakers calling for $600 payments per adult and child—amounting to $2,400 for a family of four—funded by tariff revenue.
Since April, when President Donald Trump’s expanded tariffs on foreign imports took effect, the Treasury Department has already collected about $100 billion, with projections now expected to surpass the earlier forecast of $300 billion for the year. Bessent stressed that Trump’s administration is “laser-focused” on cutting the deficit-to-GDP ratio and paying down debt, though he did not rule out potential dividends for Americans in the future.
Bessent also pointed to possible relief through lower borrowing costs if the Federal Reserve cuts interest rates. While speculation of a September rate cut has grown due to sluggish job growth, recent inflation data has lowered expectations. He argued that elevated rates are hitting housing and lower-income households the hardest, and suggested that easing rates could encourage home construction, which would help bring down costs in the long run.
Recent Census Bureau data supports that trend, showing housing starts rose 5.2% in July, rebounding after several months of weakness in new construction.
TSA Expands Ban on Certain Items in Checked Luggage
The Transportation Security Administration (TSA) has introduced new restrictions on what passengers can place in checked luggage, aiming to improve airline safety. While some quirky and unexpected items remain permitted, three specific categories of cordless hair tools are now banned from checked baggage.
According to TSA and the Federal Aviation Administration (FAA), the following items are prohibited in checked luggage:
- Cordless curling irons or flat irons powered by gas cartridges
- Butane-fueled curling irons or flat irons
- Spare gas refills/cartridges for these devices
If found in checked bags, luggage may be confiscated. However, these items are allowed in carry-on bags, provided they have safety covers to prevent accidental activation. Hair tools with cords remain permitted in both carry-on and checked luggage.
At the same time, TSA reminded travelers that some surprising items remain TSA-approved. These include:
- Live lobsters, if in a clear, spill-proof container
- Christmas lights, allowed in carry-on or checked bags
- Cowboy spurs and antlers, if properly packed
- Harry Potter wands and Star Wars lightsabers (toys)
- Coffee and espresso makers, securely packed
- Magic 8 Balls (only in checked luggage)
- Sewing machines and waffle irons, if they fit overhead or under-seat storage
The agency emphasized that while some items may seem unusual, safety remains the top priority when determining what can and cannot fly.
