Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Treasury delays action against China on currency

By Jennifer Liberto, senior writer


WASHINGTON (CNNMoney.com) -- The Treasury Department has again delayed a decision to label China a "currency manipulator," even as more U.S. leaders call for efforts that would penalize China for undervaluing the yuan.

The department said Friday it wanted to wait until the G-20 leaders meet in South Korea in November, hoping to see "additional progress on the important challenge of securing stronger and more balanced growth."

The statement pointed to progress China has made since it announced it June that it would allow the exchange rate to move higher. The yuan has appreciated by roughly 3% against the U.S. dollar, the statement pointed out.

The delay puts the decision off until after the Nov. 2 midterm elections, which is significant as more lawmakers campaign on the currency issue. The House in September passed a bill to authorize the Commerce Department to impose duties on imports from nations with undervalued currencies.

Earlier this year, currency experts wondered whether Treasury would name China a currency manipulator in its April report. But Treasury delayed that report until July, and then declined to label China a manipulator.

In a separate move targeting China trade, the U.S. on Friday launched an investigation into whether China has been subsidizing its wind and solar manufacturers as well as advanced batteries and energy-efficient cars.

Spurred by a United Steelworkers complaint, the investigation will look into whether China has discriminated against foreign companies and other imported goods while propping up its own domestic industry. To top of page

Index Last Change % Change
Dow 17,773.64 -57.12 -0.32%
Nasdaq 4,775.36 -29.93 -0.62%
S&P 500 2,065.30 -10.51 -0.51%
Treasuries 1.82 -0.02 -1.03%
Data as of 9:53am ET
Company Price Change % Change
Bank of America Corp... 14.56 -0.23 -1.56%
Freeport-McMoRan Inc... 14.00 1.34 10.58%
Ford Motor Co 13.56 -0.53 -3.76%
Apple Inc 93.74 -1.09 -1.15%
Microsoft Corp 49.87 -0.03 -0.06%
Data as of Apr 29
Sponsors

Sections

The Oracle of Omaha joked that the impact on Corporate America would not be the biggest problem of a Donald Trump presidency. More

The Dow is down 300 points over the past two days, leaving the index on track for its worst week since early February. Blame fumbled earnings reports from the likes of Apple and Google as well as concerns about the Bank of Japan. More

Now you can watch the SpaceX Falcon 9 rocket land on a barge as if you were standing on the deck of the ship. More

Visa says new software will allow consumers to check out with chip cards as fast as swiping a card with magnetic strip. More