Feelings in the long-running dispute over China's exchange rate regime are running high. In response to US demands for the Chinese yuan to appreciate, China has repeated its stance that it's committed to a stable exchange rate.

 

China's position on its currency could not be any clearer.

Premier Wen Jiabao told the domestic and foreign press on March the 14th that China opposes any coercion to push its currency to appreciate, and intends to resolve the exchange rate issue through negotiation.

China's central bank governor Zhou Xiaochuan said during the NPC and CPPCC sessions that China is adopting an exchange rate regime according to its own conditions, and it is in line with concepts and rules of the IMF. Politicizing the issue won't help solve the problem.

Vice governor of the central bank, Su Ning said on March the 12th, that the appreciation of the yuan wouldn't help address the US trade deficit. One country should not rely on another country to solve its own problem.

Commerce Ministry spokesman Yao Jian says China opposes the over-emphasis on the yuan's exchange rate, as the exchange rate is not a magic potion for solving global economic imbalances.

Officials have also repeatedly said a stable yuan is contributing to both the Chinese and the global economic recovery.

Wen Jiabao, Chinese Premier, said, "We oppose coercion to push other country's currency to appreciate."

Zhou Xiaochuan, Governor, People's Bank of China, said, "Politicizing the currency issue won't help solve problems."

Su Ning, Vice Governor, People's Bank of China, said, "One country should not rely on another country to solve its own problem."

Yao Jian, Spokesman, Ministry of Commerce, said, "Yuan's exchange rate is not a magic potion for solving global economic imbalances."