Scott Bessent said the U.S. will never default, despite rising debt ceiling concerns

The US is not going to miss its debt payments. That’s what Treasury Secretary Scott Bessent said on CBS’s Face the Nation, in an interview set to air Sunday.

“That is never going to happen,” Scott said. “We are on the warning track and we will never hit the wall.” The statement came just days before the Senate resumes talks over President Donald Trump’s tax and spending bill, which Republicans are using as leverage to raise the federal debt ceiling.

The debt limit has become tangled in a political mess. Lawmakers are trying to avoid default, but Republicans have made clear that they want the increase tied to Trump’s legislative agenda. That puts everything (including the US government’s ability to pay its bills) at the center of tough negotiations.

The deadline is creeping closer, and Scott is clearly trying to calm nerves, even as Wall Street starts drawing red circles around the calendar.

Scott refuses to give a deadline as markets watch

Scott wouldn’t name a specific date when the government will run out of money. He was asked to give what’s known as the “X date,” but he declined. “We don’t give out the ‘X date’ because we use that to move the bill forward,” he said. Last month, he warned Congress that the US could lose its borrowing power by August if the ceiling isn’t raised or suspended.

Private analysts are tracking the same danger. Most expect the cash crunch to hit sometime between late August and mid-October. But Scott dismissed any panic, holding to his line that default is not a real possibility.

He also responded to JPMorgan Chase CEO Jamie Dimon’s warning that there could be a major disruption in the bond market. Jamie had said, “a crack is going to happen.” Scott wasn’t buying it. “I’ve known Jamie for a long time, and for his entire career he’s made predictions like this,” he said. “Fortunately none of them have come true.”

As far as long-term goals, Scott said the administration will try to bring the deficit down “slowly.” He told CBS, “This has been a long process, so the goal is to bring it down over the next four years.” The Treasury is aiming for gradual improvement, not sudden change.

Trump plans call with Xi as China holds back key minerals

Trade issues with China also came up. Scott confirmed that President Trump and Chinese President Xi Jinping are expected to speak soon. The conversation will focus on critical minerals that China agreed to release but has recently held back. Trump accused China on Friday of going against the terms of a previous deal.

“What China is doing is they are holding back products that are essential for the industrial supply chains of India, of Europe,” Scott said. “And that is not what a reliable partner does.”

He said some of the products China is holding were part of an earlier agreement. “I am confident that when President Trump and Party Chairman Xi have a call, that this will be ironed out,” Scott said. But he also acknowledged some uncertainty. “Maybe it’s a glitch in the Chinese system, maybe it’s intentional. We’ll see after the President speaks with the party chairman.”

When asked if the call with Xi was scheduled, Scott said, “I believe we’ll see something very soon.” China hasn’t confirmed the meeting, but back in April, officials said the two leaders hadn’t talked “recently.”

White House economic adviser Kevin Hassett said no date has been locked in for the conversation, but added that the expectation is that the two presidents will talk about the Geneva agreement from last month. That deal focused on removing some tariffs and trade restrictions.

“President Trump, we expect, is going to have a wonderful conversation about the trade negotiations this week with President Xi. That’s our expectation,” Kevin said.

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