WASHINGTON, Jan. 17 (UPI) -- Democratic senators pushed for legislation against China's low currency valuation immediately before the Chinese president's visit to the United States.
Sens. Chuck Schumer, D-N.Y., Debbie Stabenow, D-Mich., and Bob Casey, D-Pa., said in Washington they think China's renminbi is undervalued by up to 40 percent and that their bill sends "a clear message" to President Hu Jintao as he embarks on his U.S. visit, The Washington Post and The Hill reported Monday.
The bill would permit the Treasury and Commerce departments to investigate the valuation issue, the newspapers said.
"There's no bigger step we can take to promote the American dream and secure job creation ... than to confront China's manipulation of currency, which allows Chinese goods to undercut American goods here, and put American goods at a major disadvantage in China," Schumer said.
Bipartisan support for the bill is expected, with a few Republicans, such as Sens. Lindsey Graham of South Carolina and Olympia Snowe of Maine, already on board with the measure.
China could control inflation if it did more to address its undervalued currency, Treasury Secretary Timothy Geithner said.
But Hu said inflation is not out of control in China, and questioned the dollar's role as the selected currency for international business.
Hu is to meet with President Barack Obama Wednesday and confer Thursday with Senate Majority Leader Harry Reid, who supports the senators' bill, Schumer said.
