Trump Threatens to Remove Fed Chair Powell
US President Donald Trump has threatened to remove Federal Reserve Chair Jerome Powell from the Board of Governors if he does not step down entirely when his term as chair ends, raising tensions over the central bank’s leadership transition.
Powell’s term as chair expires on 15 May, but his position on the board runs until 2028. He has previously said he does not intend to leave before an investigation into the Federal Reserve’s building project is completed.
In an interview with Fox Business, Trump said that if Powell does not resign voluntarily, he will be "impeached". At the same time, the administration is pursuing a criminal probe that the president says is intended to demonstrate Powell’s "incompetence".
The dispute could also complicate the confirmation of Kevin Warsh, whom Trump has nominated as Powell’s successor. Republican Senator Thom Tillis has said he will block the nomination unless the investigation is halted.
The standoff reflects a broader conflict over the central bank’s independence. Greater control over the seven-member Board of Governors would allow Warsh to exert more influence over monetary policy.