To stop countries exporting to the US from purposefully devaluing their currencies to boost their exports and in turn block imports, US trade bodies called upon lawmakers to adopt legislation to stop these practices.
The National Council of Textile Organizations (NCTO) joined hands with trade bodies from other sectors seeking US government action to stop currency manipulation.
NCTO called upon US lawmakers to adopt meaningful legislation to stop predatory currency practices and thereby include strong and enforceable currency manipulation disciplines in all future trade agreements.
NCTO said, “Export-oriented countries such as China and Vietnam have been shown to purposefully devalue their currency in order to promote their exports and to block imports into their markets.”
This practice, the trade body added, places the entire US manufacturing base at a considerable disadvantage when it comes to international trade.
During an event held in Greensboro, North Carolina, three trade organizations highlighted how unfair currency policies hurt American job creation and economic growth.
NCTO quoted a 2014 study by the Economic Policy Institute, which said, ending unfair currency policies can create as many as 2.3 million new US manufacturing jobs by levelling the playing field in global markets.
"NCTO is pleased to join with other major manufacturing associations to highlight the need for currency reform,” said Augustine Tantillo, President of NCTO.
"Currency manipulation distorts the global marketplace and puts US workers at a disadvantage. NCTO calls upon lawmakers to support legislation that create tangible remedies for US manufacturers that have been hurt by unfair currency practices”, he added.
Tantillo continued by saying, “Currency manipulation affects all US manufacturing, as a result, we need a bipartisan solution that involves both the legislative and executive branches of our government.”
The US textile and apparel industry employs nearly 500,000 workers, including 42,300 jobs in North Carolina, alone.