Yuan rises 0.5 percent after US drops currency manipulation charges
UNTV News • January 14, 2020 • 888
Beijing – The renminbi (the official name of the Chinese currency, commonly known as ‘yuan’) rose by 6.8954 units per dollar or 0.45 percent – its highest level since August – hours after the United States government decided to drop China from its currency manipulator list.
The daily trading rate set by the country’s central bank, the People’s Bank of China, was 0.0309 yuan higher on Tuesday, compared to the previous day.
The PBOC does not allow the yuan to fluctuate by more than two percent from the reference rate marked each day.
Washington included Beijing in its “currency manipulators” list on Aug. 5 after the yuan dropped below the psychological barrier of 7 units per dollar for the first time in more than a decade.
The significant drop in the yuan was seen as a response to new tariffs on Chinese products announced by Washington four days earlier.
However, the US Department of the Treasury on Monday announced the withdrawal of China from the list as a gesture of goodwill before the signing of the “first phase” of an agreement to resolve the bilateral trade war in the US capital later this week.
“China has made enforceable commitments to refrain from competitive devaluation, while promoting transparency and accountability,” US Treasury Secretary Steve Mnuchin said in a statement.
However, the US has not completely written off its suspicions over China and moved China to the so-called “Monitoring List,” in which it classifies those trade partners that merit “close attention” because of their monetary policies.
The Chinese state news agency Xinhua acknowledged that the strengthening of the yuan against the dollar came just after the gesture made by the US.
The agency quoted an analyst who attributed the appreciation in the national currency to the improvement in the country’s economic inertia and the counter-cyclical adjustments carried out by the government.
After 22 months of trade war and the ensuing exchange of tariffs, Trump announced mid-December that the first phase of a pact with China had been finalized.
According to the agreement, the US will keep its 25-percent tariffs on $250 billion worth of Chinese goods, along with reduced charges of 7.5 percent on additional imports worth $120 billion.
Ever since the announcement of a possible agreement in October, negotiations between the Asian and American superpowers have seen several upheavals, including the spread of contradictory information and mutually-lobbed veiled criticism.
Trade tensions between the two world economies – which began in March 2018 – go beyond bilateral relations and have had global consequences.
The International Monetary Fund, in its latest forecasts in October, downgraded global growth projections for the year to 3 percent, 0.2 percent less than that in July, weighed down by doubts about a possible resolution of the trade dispute. EFE-EPA
The Department of Foreign Affairs (DFA) is finalizing the repatriation of the remaining 11 Filipino seafarers stranded in Chinese waters onboard Ocean Star 86 since March 24.
The DFA and the Overseas Workers Welfare Administration (OWWA) are already coordinating with the Philippine Embassy in China. OWWA said the seafarers will be able to return home by next week.
“Mayroon na po napipintong repatriation either this coming week or first week of October ng ating mga mahal na stranded seafarers sa China (Our stranded seafarers in China will be repatriated either this coming week or first week of October). We are now providing assistance to the seafarers,” according to OWWA administrator Hans Leo Cacdac.
Based on the information received by OWWA, the Ocean Star 86 is docked in the mainland and the Philippine Embassy in China has been providing assistance to the seafarers. AAC (with reports from Joan Nano)
MANILA, Philippines – The government of the United States on Thursday donated hygiene kits and handwashing stations to the city government of Manila in support of the Philippine capital’s fight against the coronavirus disease (COVID-19) pandemic.
In a statement, US Ambassador Sung Kim said he visited the Delpan Quarantine Facility in Tondo to handover 5,000 hygiene kits and 16 handwashing stations to Manila Mayor Francisco “Isko Moreno” Domagoso.
Kim said the hygiene kits could provide additional protection against COVID-19 through the provision of items essential to practicing good personal hygiene.
The kits contain face masks, soap, laundry detergent, dishwashing liquid, and toothbrushes.
“The U.S. government is a friend, partner, and ally of the Manileños in facing this pandemic. The American people are pleased to support the City of Manila’s efforts to fight COVID-19,” Kim said.
To complement the donation, the U.S. Agency for International Development (USAID) said it will continue to collaborate with the Manila City Health Office to help ensure that citizens can access quality tuberculosis services during the pandemic as well as to support the rollout of the Department of Health’s “Coordinated Operations to Defeat Epidemic (CODE)” strategy to contain the pandemic.
USAID recently donated two ventilators to the Tondo Medical Center as part of the 100 ventilators that the U.S. government handed over last August 28 to the Philippine government.
To date, the U.S. government has donated over P1 billion ($22.6 million) to support the Philippines’ COVID-19 response.
MANILA, Philippines – The fresh diplomatic protest filed by the Philippines against China over its coast guard’s “illegal confiscation” of fish aggregating devices installed by Filipino fishermen in Bajo de Masinloc will not affect the friendship between the two countries, Malacañang said Friday.
Presidential Spokesperson Harry Roque said lodging of protests over acts deemed violative of the country’s sovereign rights is part of the job of Philippine diplomats.
“‘Yang mga protests naman ginagawa talaga yan ng ating mga diplomats kung meron sa tingin natin na lalalabag sa ating soberenya o doon sa ating tinatawag natin sovereign rights,” he said.
“Pero hindi naman po makakaapekto doon sa kabuuan ng ating matalik na pagsasamahan sa panig ng bansa natin at ng bansang Tsina,” he added.
The Department of Foreign Affairs (DFA) earlier said it has lodged a diplomatic protest against China over the incident that took place in May.
Bajo de Masinloc or Scarborough (Panatag) Shoal is a vital spawning ground for fish that lies over 100 nautical miles from the coast of Masinloc, Zambales.
It is among the areas in the South China Sea being claimed by China, including waters within the exclusive economic zones of Malaysia, Brunei, Malaysia, Vietnam, the Philippines and Taiwan.
In 2016, the Permanent Court of Arbitration in The Hage rules that under the United Nations Convention of the Law of the Sea, the Bajo de Masinloc is a common fishing ground and that China’s claims over the strategic body of water is not valid. – RRD (with details from Correspondent Rosalie Coz)
UNTV is a major TV broadcast network with 24-hour programming. An Ultra High Frequency station with strong brand content that appeal to everyone, UNTV is one of the most trusted and successful Philippine networks that guarantees wholesome and quality viewing experience.