China Exchange Rate Transparency Act of 2023

China Exchange Rate Transparency Act of 2023

This bill requires the U.S. Executive Director at the International Monetary Fund (IMF) to use the voice and vote of the United States to advocate for increased exchange rate transparency from China. Some areas of focus for this advocacy are (1) Chinese exchange rate arrangements, including any indirect foreign exchange market intervention through Chinese financial institutions or state-owned enterprises; and (2) Chinese compliance with information requests from the IMF regarding Chinese exchange rate policies and holdings.

The requirements of the bill expire seven years and 30 days after the date of the bill's enactment or earlier if China meets certain conditions regarding its exchange rate policies.

Bill 118 hr 839, also known as the China Exchange Rate Transparency Act of 2023, aims to address concerns regarding China's exchange rate practices. The bill requires the Secretary of the Treasury to submit a report to Congress on China's exchange rate policies and practices, including an assessment of whether China is manipulating its currency to gain an unfair trade advantage.

The bill also requires the Secretary of the Treasury to engage with China on the issue of exchange rate transparency and to work with international organizations to address any concerns regarding China's exchange rate practices. Additionally, the bill calls for the establishment of a task force to monitor and report on China's exchange rate policies and practices.

Overall, the China Exchange Rate Transparency Act of 2023 seeks to promote transparency and accountability in China's exchange rate practices and to ensure that China is not engaging in unfair trade practices that harm American businesses and workers.