US to set price floors across several industries to combat China

The Trump administration will set price floors across a range of industries to combat market manipulation by China, Treasury Secretary Scott Bessent told CNBC on Wednesday.

He also indicated that Washington will adopt a more interventionist industrial policy to protect its economic interests.

Bessent further stated that China has driven foreign competitors in the rare earth industry out of business over the past two decades by using its global dominance in refining and processing to slash prices.

“When you are facing a nonmarket economy like China, then you have to exercise industrial policy. So, we’re going to set price floors and the forward buying to make sure that this doesn’t happen again and we’re going to do it across a range of industries,” the Treasury Secretary said.

Bessent also said the US needs to set up a strategic mineral reserve, adding that JPMorgan Chase is interested in working with the Trump administration to create such a reserve.