Revalued Yuan Had No Impact on U.S./China Bilateral Trade Deficit

Dec. 15, 2005 (China Knowledge) - Trade data released today by the Department of Commerce confirm that China''s revaluation of its currency had no impact on the U.S./China bilateral trade deficit, according to the China Currency Coalition, an alliance of industry, agriculture, and worker organizations in the U.S.

The China Currency Coalition said that the October deficit with China reached another new high of US$20.5 billion, predicts that this year''s deficit with China will most likely exceed US$205 billion. Since the Chinese government revalued the RMB by 2.1% on July 21, China''s currency has gained less than 0.4% versus the dollar.