Watch CNBC's full interview with White House National Economic Council Director Kevin Hassett

Summary

Kevin Hassett, White House National Economic Council Director, joins Squawk Box to discuss the Fed chair search, tariffs, inflation, and the economy. He defends tariffs as effective and argues they are not stoking inflation, while pointing to strong real wages and productivity. The conversation also covers Davos, AI/data-center productivity, and energy demand. Joe Kernen voices support for coal and fossil fuels as data-center power needs rise.

• Hassett discusses the Fed chair search and says an independent chair who respects the Fed's mandates is needed.
• He defends Trump's tariffs as effective, arguing foreign governments and exporters bear more of the cost than U.S. consumers.
• He says inflation has not taken off, citing a low three-month moving average and strong real wages.
• He describes the economy as hot, potentially with two quarters above 5% GDP, and compares it to the 1990s.
• He attributes strong productivity to AI and data centers.
• Joe Kernen says Davos climate focus has shifted and explicitly favors coal and fossil fuels for data-center energy.
• The interview also touches on rare earths, the Fed chair candidate Rick Rieder, and tariff-security linkages.