Bessent criticises China's economic practices, proposes sanctions on Iran

During the Senate confirmation hearings, Bessent called China an 'unbalanced economy,' and described the nation as being in a 'severe recession'

The US Treasury Secretary-designate Scott Bessent on Thursday emphasised the need to balance free trade with fair trade, noting that the current global trade dynamics have heavily impacted American workers.

During the Senate confirmation hearings on Thursday, Bessent called China an "unbalanced economy," and described the nation as being in a "severe recession."

"Free trade must be also balanced against fair trade, and clearly what has happened is the trade has not been fair. That has fallen on the American workers. China is the most unbalanced economy in the world. They are in a severe recession and depression and they are attempting to export their way out of that," Bessent said.

The US Treasury Secretary-designate also discussed his approach to strengthening the country's economy by increasing domestic production and using sanctions to target "bad actors" like Iran.

"I would view that as we raise US production, we can squeeze down bad actors, especially Iran. I believe Iran was down to 100,000 barrels of oil exports when President Trump left office -- they're now exporting approximately 1.7 million. So, through sanction policy, I believe we can make the Iranian regime broke again -- and at the same time, increase our domestic production with the highest energy standards in the world," Bessent said.

Earlier in November 2024, Trump had nominated Scott Bessent to lead the US Department of Treasury.

In a statement, Trump had said, "I am most pleased to nominate Scott Bessent to serve as the 79th Secretary of the Treasury of the United States. Scott is widely respected as one of the World's foremost International Investors and Geopolitical and Economic Strategists. Scott's story is that of the American Dream."

Trump had also described 62-year-old Bessent as "A lifelong Champion of Main Street America and American Industry", and said that Scott will work for Trump's policies to drive American competitiveness, stop "unfair trade imbalances", and help create an economy that places growth at the forefront.