Ministry of Commerce: Chinese Manufacturing Has International Competitiveness, No Need to Undervalue Exchange Rate to Boost Exports

On July 28, Lin Weilong, Director of the Policy Research Office of the Ministry of Commerce, stated at a press conference held by the State Council Information Office that in recent years, under the strategic guidance of leaders from both China and the EU, China-EU economic and trade relations have generally developed well. At the same time, the EU has recently introduced trade restriction measures against China and hyped up the so-called issue of the RMB exchange rate, which lacks factual basis and is not conducive to the stable development of China-EU economic and trade relations. China adheres to the principle of letting the market play a decisive role in exchange rate formation and maintains the basic stability of the RMB exchange rate at a reasonable and balanced level. As a responsible major country, China will not seek competitive advantages through currency depreciation; Chinese manufacturing has international competitiveness and does not need to rely on exchange rate undervaluation to promote exports. Lin Weilong emphasized that China is not the root cause of the EU's economic and trade problems but rather a partner in solving them. Protectionism is not the solution; cooperation and mutual benefit are the right path forward. (People's Financial News)