"Fundamentals of Japanese economy strong and resilient": Bessent praises Japan's economic resilience during Tokyo visit

TOKYO: US Secretary of the Treasury, Scott Bessent, on Wednesday, praised Japan's economic resilience and highlighted the importance of economic security during meetings with senior Japanese leaders on Tuesday as part of his Asia visit. The visit came ahead of US President Donald Trump's upcoming summit with Chinese President Xi Jinping in Beijing from May 13-15.

In a post on X on Wednesday, following discussions with Japanese Prime Minister Sanae Takaichi, Bessent praised the bilateral relationship and the strength of the Japanese economy.

"Thanks to the powerful bond between @POTUS and Prime Minister @takaichi_sanae, the relationship between the United States and Japan is stronger than ever before," Bessent said. He added, "I was happy to share with the Prime Minister my belief that the fundamentals of the Japanese economy are indeed strong and resilient."

He further said that the discussions included "the US-Japan investment program, critical minerals, President Trump's upcoming visit to Beijing, and other subjects of mutual interest."

The remarks came a day after Japanese Prime Minister Sanae Takaichi detailed her meeting with Bessent in Tokyo in an X post on Tuesday.

In a post on X, she said, "Today, I met with US Treasury Secretary Scott Bessent (the Secretary of the US Treasury, Scott Bessent), who is currently visiting Japan. Secretary Bessent mentioned that this is his 56th visit to Japan."

Takaichi said she welcomed Bessent's visit and expressed hope for stronger coordination between Tokyo and Washington.

"On my part, I welcomed Secretary Bessent's visit to Japan and conveyed my expectation that the two countries will further strengthen coordination between their finance ministers, including in the G20, where the United States is serving as chair this year," she said.

According to Takaichi, discussions also focused on strengthening Japan-US supply chain resilience and reducing risks linked to advanced artificial intelligence technologies. "Following that, I spoke about the initiatives needed to enhance the resilience of Japan-US supply chains and about minimizing risks through cutting-edge AI models," she said.

The Japanese prime minister added that both sides exchanged views on the Indo-Pacific region and broader geopolitical developments. She said, "We also exchanged views on the situation and various challenges facing the Indo-Pacific region. In that context, Secretary Bessent provided an explanation of the current state of US-China relations. Through such close coordination, we will elevate the Japan-US alliance to even greater heights."

"Through such close coordination, we will elevate the Japan-US alliance to even greater heights," she added.

Bessent also met Japanese Foreign Affairs Minister Toshimitsu Motegi.

In a post on X, he said, "In my discussions with Minister @moteging, I commended Japan on its economic resilience."

He added, "Economic security is national security, and the United States is grateful for Japan's support as a strong, stable ally. During our talks, I raised issues pertaining to critical minerals and other key shared priorities."

Earlier on Tuesday, according to Kyodo News, Bessent said excessive volatility in currency markets was "undesirable" and noted that he would remain in close contact with Japan's Finance Ministry.

"I believe the fundamentals of the Japanese economy are strong and resilient, and that will be reflected in the exchange rate," Bessent told reporters after meeting Takaichi and Japanese Finance Minister Satsuki Katayama in Tokyo.

Bessent's Japan visit was first outlined in an earlier X post on May 10, where he announced his departure for Japan and South Korea ahead of the Trump-Xi summit in Beijing.

"In advance of @POTUS' historic summit with President Xi in Beijing, I will depart on Monday for a quick series of meetings in both Japan and South Korea," Bessent said.

"On Tuesday, I will meet in Tokyo with Prime Minister @takaichi_sanae, Finance Minister @satsukikatayama, and other government and private sector representatives for discussions on the US-Japan economic relationship," he added.

Bessent also stated that he would travel to Seoul on Wednesday for talks with Chinese Vice Premier He Lifeng before continuing to Beijing for the leaders' summit.

"Economic security is national security, and I look forward to a productive series of engagements as we work to advance President Trump's America First Economic Agenda," he said.