According to the Treasury Department of Finance, China is “on their heels,” and that “the world is with us now,” discussed during a conversation with Breitbart News on Wednesday.
Breitbart News Washington Director Matthew Boyle noted that Beccent had just returned from a meeting in Stockholm, Sweden, with a Chinese delegation focused on trade discussions.
“This is your third meeting. I’m with them. Can you elaborate on what transpired there? And can you share some insights on the direction things might take?” Boyle inquired.
“Well, the only thing I can really tell you is that they’re a bit on the defensive, especially since we just secured a trade agreement with Japan the previous week,” he explained.
“Our primary trading partners now have solid agreements, which pressures the Chinese, who typically portray strength. They seem to realize it’s not just good business for them, as the rest of the world is aligning with us,” Beccent said. “You’re not going to receive any special considerations.”
“China needs to rebalance its economy; it’s historically the most unbalanced we’ve seen. They control 30% of global manufacturing and have a current account surplus that’s about 2% of the world’s GDP,” Bescent noted, indicating that this dynamic is shifting.
He added that the US holds more leverage due to solid trade relationships with key partners.
“You know, no one creates leverage quite like a president,” Beccent remarked.
When asked about remarks from President Trump, Beccent stated that the intent is to “open up” China, and he feels that China is gradually allowing American goods into their market at a “deliberate pace.”
“Having spent 35 years in macroeconomic investment, I think this is such an overused notion. Ernest Hemingway would probably have something to say about that,” he added.
“The Japanese remember the implications of their own bubble burst. They hesitated to make changes, then Prime Minister Abe, a close ally of President Trump, came into office in 2012, and then boom—the Japanese economy surged ahead without looking back,” he reflected. “So, I believe the path forward won’t be a smooth trajectory.”
“They have a structured five-year planning cycle, and a session is scheduled this October,” he noted.
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