News / Economy

China Agrees to Scale Back Currency Controls

China Agrees to Scale Back Currency Controlsi
X
Scott Stearns
July 10, 2014 6:00 PM
U.S. and Chinese officials have closed two days of talks in Beijing that included discussions on cyber-security, currency controls, and rival territorial claims in the South China Sea. VOA State Department Correspondent Scott Stearns has the story.

U.S. and Chinese officials have closed two days of talks in Beijing that included discussions on cyber-security, currency controls, and rival territorial claims in the South China Sea.

As Chinese manufacturers produce more goods to meet growing domestic demand, China has agreed to scale back intervening in its currency market, .

Chinese Central Bank Governor Zhou Xiaochuan said, "We will allow market supply-and-demand relation to play a bigger role in determining the exchange rate, expand the floating range of the exchange rate, and increase the exchange rate's flexibility."

U.S. Treasury Secretary Jacob Lew says it is a win for both countries.

"It is fundamentally about the fairness of the trading system and the opportunity of U.S. workers and firms to compete fairly and Chinese consumers to have the purchasing power that goes with a fairly-valued currency," he said.

Cyber-security

At this Strategic and Economic Dialogue, U.S. and Chinese officials also discussed cyber-security following the U.S. indictment of five Chinese military officers on charges of cyber-espionage.

Secretary of State John Kerry said, "The loss of intellectual property through cyber has a chilling effect on innovation and investment. Incidents of cyber theft have harmed our businesses and threatened our nation's competitiveness."

Cyber-espionage is a sensitive topic for China, as its manufacturing strength outpaces innovation, according to American University professor Hillary Mann Leverett.

"Today, China is not a place that can innovate. And even though they are trying, they are not there," said Leverett. "And so, in part, they see this as the United States pushing its advantage and not allowing China essentially to copy, and then perfect, improve on, and learn to innovate that way."

South China Sea

U.S. and Chinese officials also discussed competing territorial claims in the South China Sea, where Vietnam says one of its patrols was rammed by China's coast guard near a Chinese oil rig in disputed waters. Resolving those rivalries peacefully should be part of what Kerry calls defining a new partnership between Washington and Beijing.

"It is not going to be defined by us carving up areas and suggesting there are spheres of influence," he said. "It is going to be defined by our mutual embrace of standards of global behavior and activity that protect the values and the interests that we have long worked by and the norms of international behavior."

Vietnam is working with the Philippines on legal challenges to Chinese claims in the South China Sea, where Beijing says Filipino plans to drill for natural gas are "illegal."

"Any foreign company, if it has not received China's permission, exploring oil and gas in waters under Chinese jurisdiction is illegal and invalid," said Chinese Foreign Ministry Spokesman Hong Lei.

While the United States is helping upgrade the Filipino navy, Washington says it is not taking a position on any of the rival claims in the South China Sea.

 

You May Like

Reports of Mass Murder on Mediterranean Smuggler’s Boat

Boat sailed from Libya with 750 migrants aboard and arrived in Italy with 569 More

Video New Thailand Hotline Targets Misbehaving Monks

Officials say move aims to restore country’s image of Buddhism, tarnished by recent high profile scandals such as opulent lifestyle, drug and alcohol abuse, as well as child sex abuse More

Study: Dust from Sahara Helped Form Bahama Islands

What does the Sahara have in common with a Caribbean island? Quite a lot, researchers say More

Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Astronauts Train in Underwater Labi
X
George Putic
July 25, 2014 7:25 PM
In the world’s only underwater laboratory, four U.S. astronauts train for a planned visit to an asteroid. The lab - called Aquarius- is located five kilometers off Key Largo, in southern Florida. Living in close quarters and making excursions only into the surrounding ocean, they try to simulate the daily routine of a crew that will someday travel to collect samples of a rock orbiting far away from earth. VOA’s George Putic has more.
Video

Video Astronauts Train in Underwater Lab

In the world’s only underwater laboratory, four U.S. astronauts train for a planned visit to an asteroid. The lab - called Aquarius- is located five kilometers off Key Largo, in southern Florida. Living in close quarters and making excursions only into the surrounding ocean, they try to simulate the daily routine of a crew that will someday travel to collect samples of a rock orbiting far away from earth. VOA’s George Putic has more.
Video

Video Not Even Monks Spared From Thailand’s Junta-Backed Morality Push

With Thailand’s military government firmly in control after May’s bloodless coup, authorities are carrying out plans they say are aimed at restoring discipline, morality and patriotism to all Thais. The measures include a crackdown on illegal gambling, education reforms to promote students’ moral development, and a new 24-hour phone hotline for citizens to report misbehaving monks. Steve Sandford reports from Bangkok.
Video

Video Virtual Program Teaches Farming Skills

In a fast-changing world beset by unpredictable climate conditions, farmers cannot afford to ignore new technology. Researchers in Australia are developing an online virtual world program to share information about climate change and more sustainable farming techniques for sugar cane growers. As VOA's Zlatica Hoke reports, the idea is to create a wider support network for farmers.
Video

Video Airline Expert: Missile will Show Signature on Debris

The debris field from Malaysia Airlines Flight 17 is spread over a 21-kilometer radius in eastern Ukraine. It is expected to take investigators months to sort through the airplane pieces to learn about the missile that brought down the jetliner and who fired it. VOAs Carolyn Presutti explains how this work will be done.
Video

Video Treatment for Childhood Epilepsy Heats up Medical Marijuana Debate

In the United States, marijuana is classed as an illegal drug by the federal government. But nearly half the states have legalized it, to some degree. Proponents say some strains of marijuana might have exceptional health benefits, for treating pain or inflammation in chronic conditions such as cancer, multiple sclerosis and epilepsy. Shelley Schlender reports on a strain of medical marijuana developed in Colorado that is reputed to reduce seizures in childhood epilepsy
Video

Video Airbus Adds Metal 3D Printed Parts to New Jets

By the end of this year, European aircraft manufacturing consortium Airbus plans to deliver the first of its new, extra-wide-body passenger jets, the A350-XWB. Among other technological innovations, the new plane will also incorporate metal parts made in a 3-D printer. VOA's George Putic has more.
Video

Video AIDS Conference Welcomes Exciting Developments in HIV Treatment, Prevention

Significant strides have been made in recent years toward the treatment and prevention of HIV, the virus that causes AIDS. This year, at the International AIDS Conference, the AIDS community welcomed progress on a new pill that may prevent transmission of the deadly virus. VOA’s Anita Powell reports from Melbourne, Australia.
Video

Video IAEA: Iran Turns its Enriched Uranium Into Less Harmful Form

Iran has converted its stockpiles of enriched uranium into a less dangerous form that is more difficult to use for nuclear weapons, according to the United Nations’ Atomic Energy Agency. The move complies with an interim deal reached with Western powers on Iran's nuclear program last year, in exchange for easing of sanctions. Henry Ridgwell reports for VOA from London.

AppleAndroid

World Currencies

EUR
USD
0.7305
JPY
USD
101.53
GBP
USD
0.5830
CAD
USD
1.0656
INR
USD
60.075

Rates may not be current.