Sept 14 (Reuters) - The U.S. Congress will renew its long-running fight with China over currency policy with two days of hearings this week on what steps the United States should take to pressure China to revalue its yuan.
China bought several months of calm with a June 19 move to ease the yuan’s peg to the U.S. dollar, but a minimal rise in the currency’s value since then and the return in July of huge Chinese trade surpluses has again piqued lawmakers’ anger.
Following are recent comments by players in the currency debate:
“China took the very important step in June of signaling that they’re going to let the exchange rate start to reflect market forces. But they’ve done very, very little. They’ve let it move very, very little in the interim.” (September 10 interview with the Wall Street Journal)
HU XIAOLIAN, A VICE GOVERNOR OF THE PEOPLE’S BANK OF CHINA
“My view is that the yuan doesn’t have a key role to play in rebalancing bilateral trade between the U.S. and China.” (Wall Street Journal interview published on August 31)
“These numbers show just how little motive China has to end its currency manipulation unless it is pushed to do so.” (August 10 reaction to trade figures showing an unexpected surge in China’s July trade surplus)
CHINESE STATE THINK TANK ECONOMISTS LI JIANWEI AND YU BIN,
“We must resist large-scale yuan appreciation brought about by external pressure and prevent a big drop in export growth.” (September 7 essay in Reform magazine)
“I told Chinese officials that I appreciate its announcement on currency system reform on June 19 — in other words making the yuan more flexible — and that I expect them to make steady efforts.” (Comments on August 31 after Japan-China economic dialogue)
U.S.-CHINA BUSINESS COUNCIL, 35 BUSINESS AND FARM GROUPS
“We strongly oppose legislation that would allow use of either the anti-dumping or countervailing duty law to address currency concerns for several years.” (September 14 letter to the U.S. House Ways and Means Committee)
“Products made in America have been undercut by Chinese goods, which are effectively subsidized by the Chinese government’s policy of manipulating the value of its currency.” (Signed by 93 House members as of Sept. 13) (Compiled by Paul Eckert; Editing by Padraic Cassidy)