Obama promised to label China a currency manipulator his first day in office. He lied and refuses to label China because China is buying all his debt, along with the Federal Reserve. Obama said he didn’t label China because he didn’t want to embarrass them.
From The Hill:
The Obama administration is coming under criticism from Sen. Charles Schumer for declaring that China is not a currency manipulator.
Following Tuesday’s release of a report that again finds China is not keeping the value of its currency artificially low to cut the price of its exports to the United States, Schumer criticized the administration for avoiding penalties against China.
“This report all but admits China’s currency is being manipulated, but stops short of saying so explicitly,” Schumer, a close ally of Obama’s, said in a statement.
“The formal designation matters because there can be no penalties without it. It’s time for the Obama administration to rip off the band-aid, and force China to play by the same rules as all other countries.”
Several senators joined Schumer in criticizing the decision.
“Unfortunately, this is no surprise,” said Sen. Rob Portman (R-Ohio).
“The Obama administration has refused to take on China’s currency manipulation eight times. During this time of anemic economic growth, record-setting national debt and stubbornly high unemployment, we cannot afford to sit idly by as China refuses to play by the rules.”
Democratic Sen. Bob Casey (Pa.) said the report makes it clear that China is “cheating on its currency and stealing American jobs.”
“However, once again, the administration failed to act,” he said.