The U.S. senate is considering increased tariffs on Chinese exports if Beijing does not raise the value of its currency and ease pressure on the dollar.
A proposal, expected to be introduced later Thursday would give China six months to re-value the yuan or face a possible 27.5 percent duty on exports to the United States.
The Bush Administration says the yuan, which is fixed to the U.S. dollar, is grossly under-valued, thus keeping China's exports artificially cheap, undermining U.S. exports and putting many Americans out of work.
Analysts say the currency issue is likely to be discussed at a meeting beginning Friday in London of finance ministers from the Group of Seven Industrialized nations.
Some information for this report provided by AFP and AP.