U.S. Treasury Secretary Scott Bessent said on the 16th (local time) that he plans to finalize the detailed implementation agreements related to the US-China summit held in Busan at the end of last month within this month.

In an interview with Fox News on the same day, Bessent said, "We have not yet finalized the agreement (with China). We expect to finalize it by Thanksgiving (the 27th of this month)."

He added, "I am confident that China will abide by the agreement reached between President Donald Trump and Chinese President Xi Jinping in Korea," and "Xi Jinping has great respect for President Trump."

In accordance with the summit agreement, the US and China have deferred China's export control measures on rare earths and other materials for one year as of the 10th, and lowered the US's so-called 'Fentanyl tariff' on China (tariffs imposed for not cooperating in blocking the inflow of raw materials for the drug fentanyl into the US) from 20% to 10%.

However, the Wall Street Journal (WSJ) recently reported that China may restrict rare earth exports to US military companies or make the procedures more stringent.

Bessent, however, countered, "I don't think the WSJ's report is very accurate."

He continued, "If (China does not abide by the agreement), we have many levers to utilize," but added, "It is irresponsible to make such remarks before the ink on the agreement has even dried."

When asked if the 'leverage against China' includes the delisting of Chinese companies from US stock markets, he evaded a direct answer, saying, "All options are on the table," and replied, "We must approach this with the belief that President Xi will keep his promises to President Trump."

Meanwhile, regarding the lingering public dissatisfaction with high prices in the US, Bessent said, "We will see the inflation curve bend in the first and second quarters (of next year), and the real income curve rise significantly."

Bessent explained that under the "Framework Agreement on Mutual Trade" signed with four Latin American countries including Argentina on the 13th, "tariffs on many items such as coffee, cocoa, and bananas will disappear, and those prices will come down."

He also pointed to large refunds through tip and overtime pay tax deductions as a factor for real income growth, based on 'one big, beautiful bill' passed by Congress as a campaign promise by President Trump, which will occur early next year.

In addition, he reminded that if Congress passes legislation, increased tariff revenue will be distributed as $2,000 to US households excluding high-income earners, and $1,000 will be paid to newborns from July next year through 'Trump savings accounts'.

These remarks appear to stem from the recognition that the ruling Republican Party's main reason for losing the local elections on the 4th was voter anxiety about prices, and that in order to win the midterm elections in November next year, the public must feel the stabilization of prices and increase in real income.

Bessent said, "2026 will be a great year for American workers and markets thanks to President Trump's signature policies."

U.S. Treasury Secretary Scott Bessent. Yonhap News Agency.Yonhap News Agency