Scott Bessent, the U.S. Treasury Minister, said the ruling Liberal Democratic Party led by Sanae Takaichi scored a landslide win in the general election on the 8th, adding, "When Japan is strong, the United States is stronger in Asia."
On the 8th (local time), Minister Bessent said in a Fox News interview, "Prime Minister Takaichi is a great ally and has an excellent relationship with President Donald Trump," adding this assessment. It is seen as suggesting that coordination between the two countries will become a key pillar of future Asia strategy.
On economic relations with China, Minister Bessent said, "We do not want the U.S. economy to decouple from China, but we need to reduce risk." The Trump administration has signaled it would pursue selective risk management limited to certain areas such as supply chains and technology, and this remark appears to reaffirm that stance.
He went on to say regarding economic sanctions on Iran, "President Trump instructed us to use Treasury authorities to apply maximum pressure on Iran." He noted that the Treasury has strengthened measures to track and freeze funds along with sanctions targeting Iran's oil sales, and that as a result, one of Iran's largest banks, Ayandeh Bank, collapsed, sparking anti-government protests inside Iran.
Regarding the situation in Iran, Minister Bessent said, "We are watching the rats flee the ship. Iran's leadership is frantically sending money overseas," and emphasized, "When the situation is resolved, our Treasury will recover that money (the frozen funds) for the Iranian people."
As for Federal Reserve (Fed) chair nominee Kevin Warsh, he offered this overall assessment: "A person who is very independent yet recognizes that the Fed must be accountable to the American people." Minister Bessent said, "The Fed will watch the situation for about a year and then decide on a course," adding, "They do not seem likely to rush."
He also cited the situation in China as the reason gold prices showed significant volatility last week. He said, "Market conditions in China have become somewhat disorderly," explaining, "Gold prices are surging on speculation and then plunging."