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Donald Trump has appointed investor Howard Lutnick, co-chair of his transition team, to head the US commerce department. In his announcement, Trump stated that Lutnick, who is the chief executive of financial firm Cantor Fitzgerald, would lead the administration's "tariff and trade agenda."

Lutnick was also considered for the treasury secretary position, which is more prominent. Trump has not yet made a decision regarding that highly scrutinized role, which holds significant power over economic and tax policy.

The debate over the selection has become public. Over the weekend, billionaire Elon Musk endorsed Lutnick for the position and criticized one of the other candidates, Scott Bessent, as too "business as usual."

Lutnick, who identifies as a "strong capitalist," has commended Trump for presenting a "competitive growth model." During the campaign, he acted as a spokesperson for some of Trump's most contentious proposals, including extensive tariffs and the abolition of the income tax.

His support for these ideas has set him apart from some on Wall Street, which has traditionally viewed tariffs as detrimental to corporate America. The commerce department is smaller than the treasury department, employing around 50,000 individuals.

It plays a crucial role in areas where business interests intersect with national security, such as limiting technology exports to China or implementing tariffs to safeguard US steel.

The department is also significantly involved in government initiatives aimed at enhancing domestic manufacturing and supporting US companies.

In addition to its role in the US-China trade and tech conflict, its duties encompass patent approvals, the publication of economic data, and conducting the US census.

In his announcement, Trump referred to Lutnick as a "dynamic force on Wall Street for more than 30 years" and commended his efforts in assembling a team for the new administration.

He mentioned that Lutnick would also have special oversight of the office of the US Trade Representative, which is not officially part of the Commerce department.