Nov 27 2012
U.S. Senator Orrin Hatch (R-Utah), Ranking Member of the Senate Finance Committee, issued the following statement today after the U.S. Treasury Department failed to label China as a currency manipulator in its Semi-Annual Report to Congress on International Economic and Exchange Rate Policies:
“Not only did the Obama Administration miss the deadline for issuing this report, they’ve added insult to injury by failing to take it seriously. Given our large and growing trade imbalance with China, it is simply inexcusable for the White House to continually shirk its statutory obligations and refuse to take this issue head on. The Obama administration has also failed to respond to my request for a clear explanation of the role of currency manipulation in the context of Trans Pacific Partnership negotiations, even though a new round is scheduled to begin this week. The economic problems our country faces demand strong Presidential leadership. Ignoring critical trade issues and issuing late reports that are simply more of the same are a poor substitute.”
This Congress, Hatch sought to provide a long-term, effective solution to currency manipulation by offering an amendment that would have mandated negotiations with like-minded trading partners to counter the effect of China’s currency practices and to increase multilateral pressure on China and other currency manipulators to modify their practices.
After the U.S. Treasury announced the release of its semi-annual currency report would be delayed in October, Hatch also called on Treasury Secretary Geithner to outline the Obama Administration’s position on currency manipulation before the next round of the Trans Pacific Partnership (TPP) negotiations begin in December. To date, a response has not been sent.The U.S. Senate Finance Committee has jurisdiction over trade policy.