SHANGHAI: The American Chamber of
Commerce in China (AmCham) on Friday urged the US government to stop putting
pressure on China to revalue the renminbi.
U.S. President George W. Bush (C) and
U.S. Secretary of Treasury Henry Paulson (R) welcome Chinese Vice Premier
Wu Yi to the Eisenhower Executive Office Building in the White House
complex before a meeting of the U.S.-China Strategic Economic Dialogue in
Washington, May 24, 2007. [Reuters]
The US-China trade balance issue could not be addressed by forcing Chinese
currency revaluation, said a White Paper presented by AmCham to the 2007 China
Trends Conference in Shanghai.
China's steady reform of its banking and overall financial infrastructure is
considered key to the full integration of China's currency globally, said the
The full global integration of China's financial sector and the enforcement
of protection of intellectual property rights are also believed to be crucial
factors contributing to the long-term and sustainable growth of the two
countries' economies, the chamber noted.
The chamber believes that the large and growing US trade deficit with China
should not serve as the definite measure of US-China trade.
AmCham members agreed that effective implementation of existing laws and
regulations, and the skillful and targeted use of WTO dispute mechanism are the
best means of dealing with shortcomings in the commercial relationship between
the two countries.
The paper pointed to the important progress China has made in reforming its
It noted that the deepening of the reforms to further open the capital market
in China would allow for the removal of capital controls and enable China to
adopt a market-driven, flexible rate regime.
AmCham supports current efforts under the US-China Strategic Economic
Dialogue (SED) to encourage the greater participation of US financial sector
firms, which is an indispensable part of helping China build a stronger
financial service sector.
In the past year, IPR enforcement was a key concern of AmCham members. The
White Paper shows that most US companies in China appreciate China's sustained
efforts in IPR protection. AmCham urges both sides to take the opportunities
presented by the SED and the US-China Joint Commission on Commerce and Trade
later this year to map out efforts to beef up China's IPR enforcement.
AmCham also advised the US government to offer overall coordination and
support for US companies' efforts to capture more opportunities in China.
"China's rapidly expanding economy and liberalizing markets have
revolutionized international business," said an AmCham spokesman.
"Businesspeople from all corners are looking to take advantage of the
ever-growing number of opportunities here."