In a startling accusation that could reshape global economic dynamics, U.S. Treasury Secretary Scott Bessent has boldly claimed that China, amid its own economic struggles, is deliberately attempting to drag the rest of the world down with it. But here's where it gets controversial: Bessent argues that China’s recent export controls on critical resources like rare earths and minerals are not just protective measures but a calculated strategy to stifle global growth. Speaking to the Financial Times on the eve of U.S.-China talks in Madrid, Spain, on September 15, 2025, Bessent didn’t hold back, stating, 'If they want to slow down the global economy, they will be hurt the most.'
This comes just as tensions escalate ahead of a high-stakes meeting between President Donald Trump and China’s Xi Jinping. And this is the part most people miss: China’s October 9 announcement banning the export of rare earth materials for military use marks the first time Beijing has explicitly targeted this sector. These materials are essential for U.S. defense systems, including the F-35 warplane, Tomahawk missiles, and smart bombs. Trump’s response? A 100% tariff on Chinese goods starting November 1, coupled with threats to cancel the meeting with Xi. Markets have reacted sharply, with Wall Street averages plunging on Tuesday as the dispute intensifies.
Bessent’s critique goes deeper, suggesting China’s actions are driven by desperation. 'They are in the middle of a recession/depression, and they are trying to export their way out of it,' he told the FT. 'The problem is they're exacerbating their standing in the world.' Here’s the bold question: Is China’s strategy a last-ditch effort to regain economic footing, or a reckless move that risks global instability? What do you think? Share your thoughts in the comments—this debate is far from over.
