US Treasury Secretary says Trump-era economic policies made America more ‘resilient’

US Treasury Secretary Scott Bessent in a speech at the Ronald Reagan Presidential Library is going to praise the Trump’s administration “America First” economic policies as an antidote to the decades of bipartisan policy failures.

According to Reuters, in his speech, Bessent will also shed light on how these economic policies helped America to become more resilient as the country previously prioritized consumer comfort, spending, efficiency over national resilience. Consequently, the US developed dangerous dependence over foreign foes, specifically China.

Bessent said in the speech to be delivered at the ⁠Ronald Reagan Presidential Library in Simi Valley, California, "Somewhere along the way, we lost sight of a foundational principle that previous generations ​understood instinctively: economic security is national security.”

"For a nation that cannot manufacture, mine, ship or refine its needs gradually cedes ​its strength — and sovereignty — to others," he added.

"That is a dangerous dependency for any country. It is an unacceptable one for ​the United States.”

The Treasure Secretary who called himself “economic historian” also blamed the previous bipartisan mistakes, responsible for erosion of the US industrial base. According to him, the entry of China into the World Trade Organization and an over-dependence on international trading systems to govern non-market economies.

Bessent’s speech will also lay the foundation of economic philosophy where “economic security is national security”. This doctrine based on “America First policies” urges rebuilding domestic industrial capabilities rather than distancing themselves from the world or other economies.

"But let me be direct about what this doctrine does not mean. It ​does not mean ⁠retreating from the world. On the contrary, it means engaging with it on stronger, fairer, and more sustainable terms," Bessent said.

Moreover, under this major economic shift, the US will not break the ties with partners, but create a difference between “dangerous overdependence" and “healthy interdependence.”

Currently, the US is facing some challenges in decoupling itself from China in various key areas, such as critical minerals, industrial policies , semiconductors and electronic manufacturing.