President Donald Trump promised to label China a currency manipulator on his first day in office, but after 77 days, his administration is touting a new term: “currency misalignment.”
An administration official told Reuters on Thursday that the administration views “misalignment” as more significant than “currency manipulation” as a cause of trade deficits, signaling another step away from a manipulator designation against China next week.
“The term currency manipulation doesn’t fully encompass the currency movements that concern us,” the official said, speaking on condition of anonymity because he was not authorized to speak to the media.
The official’s comments came as Trump prepared for his first face-to-face meeting with Chinese President Xi Jinping in Florida, a summit fraught with trade tensions between the world’s two largest economies. Click here to read more.