US Treasury Secretary Scott Bessent says China is sole dissenter on G20 trade language
A divided G20 finance meeting ended without a consensus due to US and China disputes over 'non-market' policies, while the yen hit a one-month high amid bets for a Bank of Japan rate hike.
The Group of 20 finance ministers met in Asheville, North Carolina, without issuing a joint communiqué on Tuesday. United States Treasury Secretary Scott Bessent stated that China was the only nation opposing language describing certain economic models as 'non-market.' Washington viewed this phrasing as essential to address global imbalances created by state-directed policies and low-priced exports. Beijing withheld its support because it believed the formulation unfairly targeted its own system. The official statement released by the US recorded agreements among all members except China on several contentious points. It called for eliminating non-market practices that worsen trade imbalances and urged economies with large external surpluses to reduce distortions affecting domestic consumption.
Separately, currency markets reacted to expectations of monetary policy shifts. The Japanese yen strengthened against the U.S. dollar, reaching a high of 155.25 before settling at 155.71. Analysts expect the currency to gain roughly 2.5 percent this week, marking its strongest performance since late July. Traders anticipate the Bank of Japan may raise interest rates during its September 17 meeting. Top Japanese diplomat Atsushi Mimura noted that exchange-rate movements remain a priority for his administration.
These developments occurred on September 4 as U.S. traders awaited employment data reports that would further influence dollar strength.
