US Treasury Secretary Scott Bessent accused China of deliberately trying to weaken the global economy with recent restrictions on the export of critical minerals and sanctions against US-linked companies. In an interview published by Financial Times this Monday (13), Bessent stated that the measures reflect the fragility of the Chinese economy and an attempt to “export its recession”.
“This is a sign of how weak their economy is, and they want to bring everyone down together,” said the secretary. “Maybe there is some Leninist business model where harming their customers makes sense, but they are the biggest suppliers in the world. If they want to slow down the global economy, they will be the most affected,” he added.
The speech comes after , accused of supporting US government investigations into the Chinese shipping sector. The decision increased tension between the two countries, which had already been exchanging retaliatory measures in strategic areas such as semiconductors, navigation and energy.
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Bessent told the FT that China’s actions show an internal dispute between government bodies, especially between the Finance and Commerce ministries. According to him, the tightening would be led by “hardliners” from the Ministry of Commerce and state security, which “have assumed a much greater role in the economy”.
The head of the American Treasury also stated that the Chinese strategy could backfire: “They are trying to export their crisis, but they are worsening their own position in the world.”
The escalation takes place just a few weeks before the meeting between President Donald Trump and Chinese leader Xi Jinping, scheduled for the end of October in South Korea. Sources heard by FT They said that Washington is preparing countermeasures if there is no agreement, including new requirements for software exports to China.
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Beijing’s tightening of exports of rare earths, inputs used in technology, defense and clean energy, also provoked strong reactions in the market. Shares of American mining companies of critical minerals soared in the pre-market this Tuesday (14), with increases of up to 38%, while S&P 500 and Nasdaq futures retreated in the face of the worsening business climate.
