U.S. Treasury Secretary Scott Bessent has lashed out at China, accusing the Asian powerhouse of trying to “slow down” the global economy amid its trade war with President Donald Trump.
Bessent accused Beijing of overplaying its hand after it announced new restrictions on the export of rare earth metals and minerals, a move widely seen as retaliation for Trump’s severe “reciprocal” tariffs on Chinese goods.
Bessent criticized China for escalating tensions with the U.S. over the rare earth restrictions, which prompted Trump to threaten a new round of 100 percent retaliatory tariffs on Chinese imports, sparking turmoil in global markets once again.
“This is a sign of how weak their economy is, and they want to pull everybody else down with them,” Bessent told The Financial Times.
“Maybe there is some Leninist business model where hurting your customers is a good idea, but they are the largest supplier to the world,” Bessent said. “If they want to slow down the global economy, they will be hurt the most.”
Bessent also accused China of being in the midst of a recession or depression and trying to “export their way out of it.”
“The problem is they’re exacerbating their standing in the world,” he added.
The trade war between the U.S. and China intensified this month after Beijing ramped up its restrictions on rare earth mineral exports, effectively requiring foreign countries that use Chinese rare earths to obtain a license.
The move was seen as a deliberate attempt to harm the U.S., given its heavy reliance on China’s rare earth exports for manufacturing everything from military equipment to cars and smartphones.
China has denied claims that the restrictions are designed to disrupt the global economy, insisting the measures are rooted in national security concerns.
China’s Commerce Ministry also accused Trump of “threatening to intimidate” Beijing with his new 100 percent tariff threat, “which is not the right way to get along with China,” The Guardian reported. A ministry spokesperson added that China would “fight to the end” in trade talks.
It remains unclear whether Trump will follow through on his threat to impose 100 percent tariffs on Chinese imports starting November 1. The president has earned the nickname “TACO”—short for “Trump Always Chickens Out”—among some on Wall Street for his frequent flip-flopping on tariff threats, including those against China.
Economists and other experts have long warned that Trump’s sweeping global tariffs will have a devastating effect on the global markets and cause the cost of items and goods in the U.S. to rise sharply.
On Sunday, Trump posted on Truth Social that the trade dispute with China “will all be fine” and that Chinese President Xi Jinping “just had a bad moment.”
“He doesn’t want Depression for his country, and neither do I,” Trump added. “The U.S.A. wants to help China, not hurt it!!!”
The post Trump Treasury Secretary Rages at China for Retaliating to His Boss’ Threats appeared first on The Daily Beast.
