Unformatted text preview: demanding an increase in Yuan in order to compete against Chinese prices. However the Chinese government has argued that the value of the Yuan is not contingent to the poor recovery of the US economy, rather the US needs cheap Chinese products in order to provide its citizens with cheaper prices as well as providing US companies who produce good in china with cheaper production costs. Furthermore the Chinese government has argued that the bill would violate WTO rules, creating an unfair advantage against Chinese exports. The tense situation in the trade between the US and China has reached its peak as both nations must decide the best measure to assure their economy yet maintain good trade relations with the other country....
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- Spring '06
- Qing Dynasty, United States dollar, Chinese government