February 22, 2019

U.S. negotiators are reportedly demanding China not devalue the yuan as a condition for any potential trade deal. Such a measure is likely to encounter little resistance from the Chinese: It’s actually in Beijing’s interest to have a stronger currency, experts told CNBC.

The yuan’s exchange rate against the dollar has been a repeated complaint from Donald Trump. In July of last year, the U.S. president told CNBC that the Chinese currency had been “dropping like a rock” and that it was putting America at a “disadvantage.”

Since then, the yuan has strengthened about 1 percent against the greenback and Beijing has said the People’s Bank of China is pursuing a stronger currency.

Read more:

https://www.cnbc.com/2019/02/22/us-wants-a-more-stable-yuan-china-wants-that-too-experts.html