Washington (dpa) – The US Treasury Department on Tuesday declined to name China a currency manipulator, citing the yuan's 12-percent appreciation against the dollar over the last 18 months. Still, the yuan's movement to date is “insufficient,” the department said. The United States will “closely monitor” the pace of the currency's appreciation and “press for policy changes that yield greater exchange rate flexibility.” The statement is the latest criticism of what many in Washington consider Beijing's policy of keeping its exchange rate artificially low, in a bid to keep China's export-driven economy booming. A cheaper yuan makes it easier for the country of 1.3 billion people to boost its exports and provide jobs for its massive population. It makes US exports to China more expensive, which US trade unions have often pointed out. Treasury called for a “level playing field” and a “sustained shift to domestic, demand-led growth.” Beijing has in the past acknowledged the need to move away from sole reliance on exports toward a more consumer-based economy, but analysts said such a move would occur slowly. BM ShortURL: http://goo.gl/Zg7VZ Tags: China, Currency, United States Section: East Asia, North America
