Gridlock News

The executive branch declared today that the Chinese government is not manipulating currencies to devalue the yuan against the dollar, giving China an unfair economic advantage over the US. "The currency report, which the administration must present to Congress every six months, was delayed by a few weeks, until after Chinese President Hu Jintao and Bush discussed the issue at the White House on April 20. The administration had hoped that Hu would signal China would move faster; no such announcement came." US Manufacturers, the AFL-CIO and Democrats are outraged at the decision. The Democratic leadership in Congress is working to pass legislation which would penalize China for imports until the trade imbalance is corrected. This will not be possible if the executive branch of government is unwilling to enforce the existing legislation. U.S.: China not manipulating currency