MNI BRIEF: Treasury- No Major Trading Partners Manipulating FX

None of the U.S.'s major trading partners are manipulating their currencies to incur an unfair trade advantage, the Treasury said Friday, although it has placed 12 countries including China, Japan and Germany on its monitoring list.

“No major U.S. trading partner during 2021 manipulated the rate of exchange between its currency and the U.S. dollar for purposes of preventing effective balance of payments adjustments or gaining unfair competitive advantage in international trade," the Treasury said in its semi-annual Macroeconomic and Foreign Exchange Policies of Major Trading Partners.

The report is reviewing Switzerland's FX practices as it remains "concerned by certain economies raising the scale and persistence of foreign exchange intervention to resist appreciation of their currencies in line with economic fundamentals."