Industries across the world are bracing for a deflationary shock as China devalues, but Beijing adamant there is no secret plan to drive down the yuan [Reposted from The Telegraph | Ambrose Evans-Pritchard | August 13, 2015] Chinese steelmakers are preparing to flood the global market with cut-price exports as they take advantage of this…
On Tuesday, China announced the largest one-day devaluation of its currency in more than two decades. Make no mistake—although authorities claimed this policy was a shift toward more market-driven movements, the value of the currency is tightly controlled by China’s central bank. By choosing to devalue its currency, Chinese officials are trying to solve their…
Did you ever think you’d see congressional Republicans repeal a federal law in subservience to a foreign organization? [Reposted from Forbes | John Brinkley | August 7, 2015] After the World Trade Organization ruled that a U.S. country-of-origin food labeling regulation was unfair to countries that export chickens, pigs and cows to the United States,…
Even if the Georgetown steel mill had survived to this point, China’s surprising decision Tuesday to devalue its currency likely would have been the 46-year-old plant’s death blow. [Reposted from The Post and Courier | David Wren | August 14, 2015] And it could be a death sentence for other sites in the struggling U.S.…
China had been setting a too-low exchange rate for their currency, thereby exporting unemployment. Then early this week their bank made a move and the currency plunged. The next day another plunge, then another. [Reposted from the Campaign for America’s Future blog | Dave Johnson | August 14, 2015] China declared this was because they…
Ohio Senator Sherrod Brown has put a “hold” on the nomination of Marisa Lago to be deputy U.S. trade representative. Brown says that his trade advisor is not allowed to see text of the Trans-Pacific Partnership (TPP) unless he is present. [Reposted from the Campaign for America’s Future blog | Dave Johnson | August 17,…
China’s decision to devalue its currency last week means that it has chosen to export its unemployment problem, rather than take the hard steps needed to restructure its domestic economy. Over the past decade, trade deficits caused by currency manipulation by about 20 mostly Asian countries, predominantly China, has eliminated between 2.3 million and 5.8…
The yuan halted a three-day slide after China’s central bank raised its reference rate for the first time since Tuesday’s devaluation and said it will intervene to prevent excessive swings. [Reposted from Bloomberg Business | August 13, 2015] The onshore spot rate rose 0.11 percent, strengthening in the final minutes of trading for the third…
A CPA member wrote to Cong. Susan Davis to ask her to oppose Fast Track Trade Promotion Authority. He received this note in response. Thank you for writing to me about your concemswith the Bipartisan Congressional Trade Priorities and Accountability Act (TPA) and the Trans Pacific Partnership (TPP). This is an incredibly important issue, and…
China is ruled by a party that calls itself Communist, but its economic reality is one of rapacious crony capitalism. And everyone has been assuming that the nation’s leaders are in on the joke, that they know better than to take their occasional socialist rhetoric seriously. [Reposted from The New York Times | Paul Krugman …
