5.21.2005
The Yuan Diversion (INYTimes.com)
EDITORIAL
Published: May 21, 2005
The get-tough-on-China talk got tougher this week when Treasury Secretary John Snow announced that China risks being branded a currency manipulator - and thus subject to sanctions - unless it acts soon to increase the fixed exchange rate between its currency, the yuan, and the United States dollar. Mr. Snow was echoing American manufacturers and some members of Congress who complain that China is undervaluing the yuan to artificially depress its export prices. But his aim is only partly to prod China. By demanding action, he is also trying to defuse growing anti-Chinese sentiment, as evidenced by the Senate's threat last month to slap punitive tariffs on Chinese goods unless the yuan is revalued.
(More ... The Yuan Diversion - New York Times) ¶ 21:49
Published: May 21, 2005
The get-tough-on-China talk got tougher this week when Treasury Secretary John Snow announced that China risks being branded a currency manipulator - and thus subject to sanctions - unless it acts soon to increase the fixed exchange rate between its currency, the yuan, and the United States dollar. Mr. Snow was echoing American manufacturers and some members of Congress who complain that China is undervaluing the yuan to artificially depress its export prices. But his aim is only partly to prod China. By demanding action, he is also trying to defuse growing anti-Chinese sentiment, as evidenced by the Senate's threat last month to slap punitive tariffs on Chinese goods unless the yuan is revalued.
(More ... The Yuan Diversion - New York Times) ¶ 21:49
