China not a 'currency manipulator': US

WASHINGTON: The United States on Friday called on China to speed up progress in making its currency more flexible, but refrained from branding Beijing a currency manipulator, a move that could trigger sanctions.

In a long-delayed report to Congress, the US Treasury said it had concluded that China was allowing the yuan, or renminbi, to appreciate against the dollar and had shown willingness to continue promoting exchange-rate flexibility.

The Treasury Department cited "the ongoing appreciation of the renminbi against the dollar since June 2010" as well as "China's public statements asserting that it will continue to promote RMB exchange rate flexibility."

The Department also noted "China's recent policy commitments through the G20 and the US-China Strategic and Economic Dialogue to address external imbalances," the Treasury said in a statement.

"However, Treasury believes that progress thus far is insufficient and that more rapid progress is needed."

Copyright AFP (Agence France-Presse), 2011