The Trump administration is currently evaluating the possibility of removing Federal Reserve Chairman Jerome Powell from his position, according to a statement made by White House economic adviser Kevin Hassett on Friday. When questioned about the potential for firing Powell, Hassett confirmed that the president and his team would continue to explore the matter.
While President Donald Trump does not have the power to directly dismiss the Federal Reserve’s leadership, he could potentially begin a complex process aimed at unseating Powell by proving there is a justifiable reason for his removal.
Trump has been vocal in his discontent with Powell, whom he nominated during his first term. The president has accused the Federal Reserve chair of engaging in political maneuvering. Tensions escalated after Powell issued a warning about the economic impact of Trump’s broad tariffs. Powell cautioned that the tariffs could drive up prices, hinder economic growth, and force the Federal Reserve to make difficult decisions between managing inflation and addressing unemployment.
In response to these developments, Trump emphasized on Thursday that he had the power to remove Powell if he chose to do so. “I’m not happy with him. I let him know it, and if I want him out, he’ll be out of there real fast, believe me,” the president stated.
The situation remains fluid as the administration continues to assess its options.
