US Treasury's Bessent: China made a real mistake by firing shots on rare earths.

United States (US) Secretary of Treasury Scott Bessent said on Friday that he thinks the Chinese leadership were slightly alarmed by the global backlash to their export controls and that "everything's ironed out in terms of the permissions, and we should see a transaction very soon."

Key Quotes

China made a real mistake by firing shots on rare earths.

US and Chinese leaders had reached an "equilibrium" but warned that China would not be able to keep using its critical minerals as a coercive tool.

I think the Chinese leadership were slightly alarmed by the global backlash to their export controls.

There's an agreement that, ceteris paribus, we have reached an equilibrium, and we can operate within that equilibrium over the next 12 months.

Everything's ironed out in terms of the permissions, and we should see a transaction very soon.

Under the one-year deal, China agreed to postpone the implementation of its rare earths regime and buy large amounts of US soybeans.

Under the one-year deal, China allow American investors to take control of TikTok in the us.

The US and China would sign the deal over the coming week and was confident it would stick."