0919 GMT August 13, 2022
China has launched its biggest devaluation of the yuan in 20 years, causing US lawmakers to consider legislation to counter that, The Hill reported.
China launched the currency devaluation last week with the country’s central bank putting the yuan’s central rate at 6.4010 yuan for $1, a drop of 1.11 percent from the previous day’s 6.3306.
Rep. Tim Ryan (D-Ohio), along with dozens of other lawmakers, is pushing for ways to address currency more urgently in trade deals.
Ryan stressed that China’s actions have provided the incentive lawmakers need to revive the issue in September.
China’s devaluation of its currency has “gotten everyone refocused” on legislation to penalize countries which deliberately manipulate their currency in order to make their products cheaper in the United States, said Ryan.
“This kind of bellicose war talk regarding the exchange of goods is solely inappropriate,” William L. Anderson said in a phone interview with Press TV on Sunday.
“We are talking about trade,” the professor said. “We are not talking about a military invasion. We are not talking about China trying to do something to hurt us [the US]. We are talking about China lowering the prices of some of the goods that it sells in the United States.”
“This particular legislation is bad legislation. What’s going on is that the United States is saying that China is manipulating its currency. What it really means is that China devaluates or devalues the yuan… to make that currency worth less versus other currencies in exchange and… that makes China’s exports less costly,” he explained.