The secretary of the Treasury, Scott Bessent, discusses the possibility of a trade agreement and to bring back the manufacture in the country on “Kudlow”.
Treasury secretary Scott Bessent Tuesday, the Trump administration will take into account the lack of compliance of China with a trade agreement of the president’s first mandate when it finalizes a new trade agreement.
Bessent was interviewed “Kudlow” by Fox Business Network after the president Donald Trump has noted prices on Chinese imports at more than 145%, which prompted China to slap 125% prices on American exports to the country.
Larry Kudlow host When asked if the phase one trade with China from 2020, which was agreed to end the American trade war with China at the time, could be used as a starting point or if the administration will take negotiations with a new start.
“I think we will have to take into account that they did not join the Phase One agreement and, you know, I note with great interest that the Biden administration loved the prices, but they did not apply the purchasing agreements,” said Bessent.
The Treasury Secretary, Scott Bessent, said that the Trade Agreement “of a phase one” could take into account new negotiations with China. (Reuters / Elizabeth Frantz / Reuters)
The “phase one” trade agreement signed in January 2020 stipulated, China would buy an additional $ 200 billion in US exports on 2020 and 2021, although it was well below these levels and could not import sufficient importance from the United States to answer its pre-exchange war Import levels compared to 2017.
The trade agreement of phase one also included other agreements, such as China which undertakes to remove technical obstacles towards us Agricultural exportsProtect the intellectual property rights of American companies and end forced technology transfers.
“Since then, in the past four years, trade has not become fairer with China,” added Bessent. “President Trump believes that economic security is national security. And we had a beta test for this during the covid, when I think the Americans were shocked to see the vulnerability of the supply chain For strategic things such as drugs, such as semiconductors, in steel. Thus, one of the most important things we will do in the coming years is to strengthen the supply chain. “”
American prices could cost China 5 to 10 million jobs, “ Uus ” in Beijing, says Bessent
President Donald Trump and Chinese President Xi Jinping concluded a “phase one” trade agreement in 2020. (Xinhua / Ju Peng via Getty Images / Getty Images)
Bessente reiterated that he thinks the China pricesOne of the three largest American trade partners is not sustainable, and the two parties will end up agreeing to soften them.
“As I have said on several occasions, I think these high prices are not durable. I think that American buyers have made a substantial amount of pre -order, and now China factories must close. And I have seen very large estimates of the potential layoffs of workers if these prices remain in place,” said Bessent.
He added that “we have a deficit with them. A surplus of countries suffers ever more, and they sell us about five times more than we sell them”.
Horizon Investments investment director, Scott Ladner, explains how President Donald Trump’s prices affect the “mornings with Maria” markets.
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Kudlow asked the Secretary of the Treasury if there was progress in negotiations with China about a trade agreement to facilitate prices.
Bessente criticized for President TrumpSaying that the president will participate in all trade negotiations. So he will wait to let him announce these offers.
