Yuan Devaluation is Currency Manipulation

Tags Trade

Washington, D.C. – China has repeatedly manipulated its currency at the expense of American manufacturers and workers. In just three days, China’s government has wiped out four years of yuan appreciation.

Said Alliance for American Manufacturing President Scott Paul:

"China's latest move is all too predictable and should come as a surprise to no one.

"China once again took matters into its own hands, proving the government and not market forces determine the exchange rate. This latest intervention is not the sign of an economy embracing free market principles. Quite the opposite, China is boosting its own economy at the detriment of others. Is this what we should expect from a 'responsible global actor?'

"American manufacturers and workers are paying the price for the Obama administration's soft approach to China. China's currency manipulation is undermining our economic recovery, particularly in the vulnerable manufacturing sector.

"The administration has repeatedly scoffed at bipartisan efforts in Congress to include enforceable currency provisions in the TPP. As a result, we are already seeing countries in the region taking cues from China in the absence of strong U.S. leadership. When Congress returns in September, it should send strong, bipartisan currency legislation to the president as part of the pending Customs and Enforcement legislation.

"As the President himself noted, now is the time for America to write the rules on trade."

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