United States National Economic Council Director Kevin Hassett stated on Monday that the U.S. economy is not heading toward a recession, confidently asserting he is “100% not expecting a recession” in the current year. Hassett highlighted the administration’s active role in global trade, announcing significant progress in ongoing tariff negotiations with the European Union.

Speaking during an interview with Fox Business, Hassett emphasized that the talks with the EU are making “enormous progress,” signaling a potential breakthrough in reducing transatlantic trade tensions. His remarks come amid heightened scrutiny of U.S. tariff policies and their global implications.

Addressing allegations of insider trading related to President Donald Trump’s recent decision to pause most tariffs, Hassett firmly denied the claims. He stressed that the administration remains committed to transparency and legal compliance, particularly as it navigates complex international trade arrangements.

In a noteworthy development, Hassett announced that a new semiconductor tariff will soon be introduced by President Trump. The levy is designed to target chips that “influence national security,” reflecting Washington’s growing concern over foreign access to sensitive technologies. The measure is expected to affect select imports viewed as strategically critical to U.S. defense and infrastructure.

The upcoming semiconductor tariff is part of the broader economic strategy led by President Trump’s administration, which aims to bolster domestic manufacturing and safeguard key industries. It aligns with a series of initiatives intended to reshape U.S. trade relationships and ensure the security of supply chains vital to national interests.

As discussions with the European Union continue to gain momentum, Hassett’s remarks indicate a diplomatic window for easing trade friction while reinforcing America’s position in high-tech sectors. The administration’s balanced approach of negotiation paired with strategic tariffs underscores its dual focus on economic stability and national security.