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U.S. Trade with China: Selected Resources

China's Currency Policies

China’s currency, the renminbi (RMB), had been undervalued for many years with Chinese government's continual intervention in setting a target rate for currency exchange. Undervaluing their currency made Chinese exports more competitive, attracted foreign investment, and made imports less competitive. In recent years China loosened the government control to allow the currency to moderately appreciate, thus reaching predominantly market determined levels, as assessed by the International Monetary Fund. However, the U.S. Treasury is closely monitoring China's currency policy as it found that the renminbi is still stronger than the dollar.

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