The largest Labour group in U. S. advocated Congress for passing the legislation to fight China’s currency practices. This suggestion from Labour group has come a day after the refusal of Obama Administration to name Beijing as a currency manipulator.
Richard Trumka, President of the AFL-CIO Labor Federation said that the Government should consider the options available and also the China’s currency practices at the World Trade Organization should be considered.
According to Trumka, the Chinese Government has invaded in currency markets over many years.
The Labor group has urged Congress to pass a bipartisan bill. Democratic senators, Charles Schumer, Debbie Stabenow and Republican Senator, Lindsay Graham with 16 more senators are supporting the bill. All these senators have confirmed their support for the bill. The bill, if passed, will enable the United States to use countervailing duty laws and antidumping against the exchange rate adopted by China.
"The distortion of the Chinese currency has gone on too long and cost too many American jobs”, Graham said.
In the meantime, the treasury Department on Thursday said that China’s Yuan is undervalued, but it also refused to label Beijing as a currency manipulator. If the U. S. does so, it would lead to damages in the trade ties between the two countries.