Bessent rules out Chinese investment as part of trade deal

[crane loading cargo container from truck to container ship in the international terminal logistic sea port concept freight shipping by ship. industry transportaion]
Suphanat Khumsap/iStock via Getty Images

Treasury Secretary Scott Bessent dismissed the possibility of Chinese investments in the U.S. as part of any potential trade agreement, limiting the avenues available for resolving the ongoing dispute between the two nations.

When asked if China could make pledges worth billions of dollars like South Korea, Japan and the EU have as part of their trade deals, Bessent said “my sense is no because a lot of the buyout or the funds from the buyout are going to go to critical industries that we need to reshore and a lot of those need to be reshored away from China.”

Whether the industry was semiconductors, rare-earth magnets, pharmaceuticals or steel, “my sense is that isn’t what will happen”, Bessent said in an interview with _Fox Business_ on Tuesday.

The United States and China have extended their trade truce [https://seekingalpha.com/pr/20198011-the-back-and-forth-of-trade-negotiations-between-the-us-and-china] for another 90 days, just hours before the world's two biggest economies were set to raise tariffs on imports of each other's goods.

On Monday, President Trump signed an executive order to maintain the pause until November 10, while Beijing also announced an extension.

DEAR READERS: We recognize that politics often intersect with the financial news of the day, so we invite you to click here [https://seekingalpha.com/article/4772168-politics-and-the-markets-040225#hasComeFromMpArticle=false#source=section%3Amain_content%7Cbutton%3Abody_link%7Cfirst_level_url%3Anews] to join the separate political discussion.

MORE ON THE MARKETS, ETC.

* FXI: The Prospects For Chinese Stocks (Rating Upgrade) [https://seekingalpha.com/article/4812658-fxi-the-prospects-for-chinese-stocks-rating-upgrade]
* Tariffs Causing Inflation? Not So Fast! [https://seekingalpha.com/article/4812676-tariffs-causing-inflation-not-so-fast]
* July CPI: Fuel And Housing Steal The Show [https://seekingalpha.com/article/4812642-july-cpi-fuel-and-housing-steal-the-show]
* Goldman says lower survey response rates contribute to outsized economic data revisions [https://seekingalpha.com/news/4484099-goldman-says-lower-survey-response-rates-contribute-to-outsized-economic-data-revisions]
* Market Voices: Trump vs. Powell, Goldman Sachs; Spirit Airlines woes [https://seekingalpha.com/news/4484035-market-voices-trump-vs-powell-goldman-sachs-spirit-airlines-woes]