"It's an unsustainable model that is not only harming China but the entire world," Bessent said in a Washington speech, stressing concerns around trade imbalances that US President Donald Trump says he hopes to address through sweeping tariffs.

But Bessent maintained that "America First does not mean America alone."

He insisted that the Trump administration's moves are a call for "deeper collaboration and mutual respect among trade partners," while taking aim at "intentional policy choices" by other countries that have hollowed out US manufacturing and put its security "at risk."

"This status quo of large and persistent imbalances is not sustainable," Bessent said. "It is not sustainable for the United States, and ultimately, it is not sustainable for other economies."

In the same speech at an Institute of International Finance forum on the sidelines of the IMF and World Bank's spring meetings, Bessent also said both institutions need to be made "fit for purpose" again.

He argued the International Monetary Fund and World Bank have strayed from their initial missions.

The IMF "has no obligation to lend to countries that fail to implement reforms," Bessent said.

"Economic stability and growth should be the markers of the IMF's success -- not how much money the institution lends out."

He added that the World Bank should also "no longer expect blank checks for vapid, buzzword-centric marketing accompanied by half-hearted commitments to reform."