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- They just destroy us, - said the billionaire businessman, a longtime critic of China's currency policy in an interview with CNN. - They continue to devalue its currency and will do so in the future. They will achieve a strong fall of the yuan, and it will be devastating for us.
Earlier Tuesday, China devalued its currency after a series of poor economic data.
As a result, the yuan fell the maximum value since 1994. Some economists say it may signal the beginning of a long-term exchange rate depreciation.
China is one of the main themes of Trump starting from the moment he decided to run for the US presidency in 2016. He promises to be tough in negotiations with China to support the American economy.
- We have a lot of power over China, - he said. - China got rich at the expense of us. China has restored with itself money and jobs sucked out of the United States.
The weak yuan means higher competitiveness of Chinese products. Given the share of China in the world market and the cost of Chinese goods, other exporters would fully lose this war.
However, when the yuan began to take shape in a different way, America was again displeased with China, since the transfer of production capacity from the US to China turned out to be a very profitable undertaking. It is also worth considering that the set of components and parts of US goods are produced in China.
The economic situation and external factors just do not leave the Chinese authorities any choice but to join the global currency war. And Beijing seems to be a very active player.
Earlier Tuesday, China devalued its currency after a series of poor economic data.
As a result, the yuan fell the maximum value since 1994. Some economists say it may signal the beginning of a long-term exchange rate depreciation.
China is one of the main themes of Trump starting from the moment he decided to run for the US presidency in 2016. He promises to be tough in negotiations with China to support the American economy.
- We have a lot of power over China, - he said. - China got rich at the expense of us. China has restored with itself money and jobs sucked out of the United States.
The weak yuan means higher competitiveness of Chinese products. Given the share of China in the world market and the cost of Chinese goods, other exporters would fully lose this war.
However, when the yuan began to take shape in a different way, America was again displeased with China, since the transfer of production capacity from the US to China turned out to be a very profitable undertaking. It is also worth considering that the set of components and parts of US goods are produced in China.
The economic situation and external factors just do not leave the Chinese authorities any choice but to join the global currency war. And Beijing seems to be a very active player.
