“The RMB must be determined by the United States, or more precisely, it must be determined by me!”
This was stated by Trump’s newly appointed U.S. Treasury Secretary Bessent during an interview with Fox News.
What an audacious claim; no wonder he was chosen by Trump, they all like to be abstract.
This statement seems to ignore that four years ago, the Eastern power already declared that “the RMB exchange rate is determined by market supply and demand.” Such words really make one marvel at his “unique insights”; he hasn’t even grasped the dollar yet, and he’s already concerned about the RMB.
The U.S. may have always dreamed of making the Eastern power's economy less independent, but the reality is that the Eastern power has a vast domestic market and a complete industrial chain. Even if the international market sneezes, they can remain as stable as a mountain and even steadily promote the internationalization of the RMB. Bessent seems to have missed this key point.
If he insists that “the U.S. can control the RMB exchange rate,” then economic cooperation between China and the U.S. is likely to turn into a “sausage war,” which would also be a disaster for global economic recovery. If they really forcefully manipulate the exchange rate unilaterally, trade friction and a cold war atmosphere are not to be trifled with. Does Bessent really have this ability? I’m afraid even he doesn’t believe it himself.
After all, if he could really control everything, the China-U.S. trade war wouldn’t have lasted this long.