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<h1 style='mso-margin-top-alt:0in;margin-right:27.0pt;margin-bottom:0in;
margin-left:0in;margin-bottom:.0001pt;text-align:justify'><b><font size=4
color=navy face="Trebuchet MS"><span style='font-size:14.0pt;font-family:"Trebuchet MS";
color:navy;background:silver'>The Currency Exchange Rate Oversight Reform Act
of 2010<o:p></o:p></span><O:P></O:P></font></b></h1>
<h1 style='mso-margin-top-alt:0in;margin-right:27.0pt;margin-bottom:0in;
margin-left:0in;margin-bottom:.0001pt;text-align:justify'><b><font size=4
color=navy face="Trebuchet MS"><span style='font-size:14.0pt;font-family:"Trebuchet MS";
color:navy'><o:p> </o:p></span></font></b></h1>
<table class=MsoNormalTable border=1 cellspacing=0 cellpadding=0 width="43%"
style='width:43.54%'>
<tr>
<td width="37%" style='width:37.7%;padding:3.75pt 3.75pt 3.75pt 3.75pt'>
<p class=MsoNormal style='text-align:justify'><font size=2 color="#333333"
face=Verdana><span style='font-size:10.0pt;font-family:Verdana;color:#333333'><O:P><a
href="http://thomas.loc.gov/cgi-bin/bdquery/D?d111:1:./temp/~bdzRev:@@@L&summ2=m&|/bss/111search.html|">All
Information</a> (except text)<o:p></o:p></span></font></p>
</td>
<td width="26%" style='width:26.66%;padding:3.75pt 3.75pt 3.75pt 3.75pt'>
<p class=MsoNormal style='text-align:justify'><font size=2 color="#333333"
face=Verdana><span style='font-size:10.0pt;font-family:Verdana;color:#333333'><a
href="http://thomas.loc.gov/cgi-bin/query/z?c111:S.3134:">Text of Legislation
</a><o:p></o:p></span></font></p>
</td>
<td width="20%" style='width:20.04%;padding:3.75pt 3.75pt 3.75pt 3.75pt'>
<p class=MsoNormal style='text-align:justify'><font size=2 color="#333333"
face=Verdana><span style='font-size:10.0pt;font-family:Verdana;color:#333333'>Summary<o:p></o:p></span></font></p>
</td>
<td width="15%" rowspan=2 style='width:15.6%;padding:3.75pt 3.75pt 3.75pt 3.75pt'>
<p class=MsoNormal style='text-align:justify'><font size=2 color="#333333"
face=Verdana><span style='font-size:10.0pt;font-family:Verdana;color:#333333'><br>
<br>
<br>
<br>
<br>
<o:p></o:p></span></font></p>
</td>
</tr>
<tr>
<td width="37%" style='width:37.7%;padding:3.75pt 3.75pt 3.75pt 3.75pt'>
<p class=MsoNormal style='text-align:justify'><font size=2 color="#333333"
face=Verdana><span style='font-size:10.0pt;font-family:Verdana;color:#333333'><a
href="http://thomas.loc.gov/cgi-bin/bdquery/D?d111:1:./temp/~bdzRev:@@@T|/bss/111search.html|">Titles</a>
<o:p></o:p></span></font></p>
</td>
<td width="26%" style='width:26.66%;padding:3.75pt 3.75pt 3.75pt 3.75pt'>
<p class=MsoNormal style='text-align:justify'><font size=2 color="#333333"
face=Verdana><span style='font-size:10.0pt;font-family:Verdana;color:#333333'><a
href="http://thomas.loc.gov/cgi-bin/bdquery/D?d111:1:./temp/~bdzRev:@@@P|/bss/111search.html|">Cosponsors</a>
(16) <o:p></o:p></span></font></p>
</td>
<td width="20%" style='width:20.04%;padding:3.75pt 3.75pt 3.75pt 3.75pt'>
<p class=MsoNormal style='text-align:justify'><font size=2 color="#333333"
face=Verdana><span style='font-size:10.0pt;font-family:Verdana;color:#333333'><a
href="http://thomas.loc.gov/cgi-bin/bdquery/D?d111:1:./temp/~bdzRev:@@@C|/bss/111search.html|">Committees</a>
<o:p></o:p></span></font></p>
</td>
</tr>
</table>
<p class=MsoNormal style='text-align:justify'><font size=4 face="Trebuchet MS"><span
lang=EN-CA style='font-size:14.0pt;font-family:"Trebuchet MS"'><o:p> </o:p></span></font></p>
<p class=MsoNormal style='text-align:justify'><font size=2 color="#333333"
face=Verdana><span style='font-size:10.0pt;font-family:Verdana;color:#333333'><a
href="http://thomas.loc.gov/cgi-bin/bdquery/D?d111:1:./temp/~bdzRev:@@@X|/bss/111search.html|">All
Congressional Actions </a><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=4 face="Trebuchet MS"><span lang=EN-CA
style='font-size:14.0pt;font-family:"Trebuchet MS"'><o:p> </o:p></span></font></p>
<p class=MsoNormal><b><i><font size=2 face="Trebuchet MS"><span lang=EN-CA
style='font-size:10.0pt;font-family:"Trebuchet MS";font-weight:bold;font-style:
italic'>Introduced on March 16, 2010, by Senators Schumer, Stabenow,<font
color=black><span style='color:black'> </span></font></span></font></i></b><b><i><font
size=2 color=black face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS";color:black;font-weight:bold;font-style:italic'>Graham,
Brownback, Brown (OH), Snowe, Feingold, Specter, Casey, Bayh, Levin, Cardin,
Gillibrand and Webb</span></font></i></b><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS"'><O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=black face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";color:black'>The
Schumer-Stabenow-Graham Currency Exchange Rate Oversight Act of 2010 will
reform and enhance oversight of currency exchange rates. The bill
provides consequences for countries that fail to adopt appropriate policies to
eliminate currency misalignment and includes tools to address the impact of
currency misalignment on <st1:country-region w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region>
industries. </span><O:P></O:P></font><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=black face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";color:black'><O:P> </O:P></span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=black face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";color:black'>Under current
law, Treasury is required to identify countries that manipulate their currency
for purposes of gaining an unfair competitive trade advantage. In recent
years, Treasury has found that certain countries’ currencies were
undervalued. However, based on its interpretation of the law’s legal
standard for a finding of “manipulation,” Treasury has refused to
cite such countries as currency manipulators. The Schumer-Stabenow bill
repeals the currency provisions in current law and replaces them with a new
framework, based on objective criteria, which will require Treasury to identify
misaligned currencies and require action by the administration if countries
fail to correct the misalignment.</span><O:P></O:P></font><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=black face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";color:black'><O:P> </O:P></span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><b><i><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";font-weight:bold;font-style:
italic'>Establishes New Objective Criteria. </span></font></i></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>The
legislation requires Treasury to develop a biannual report to Congress that
identifies two categories of currencies: (1) a general category of
“fundamentally misaligned currencies” based on observed objective
criteria and (2) a select category of “fundamentally misaligned
currencies for priority action” that reflects misaligned currencies
caused by clear policy actions by the relevant government. <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><i><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";font-weight:bold;font-style:
italic'>Strengthens Existing Countervailing Duty Law to Address Currency
Undervaluation.</span></font></i></b><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS"'> The legislation
clarifies that the Commerce Department already has authority under <st1:country-region
w:st="on">U.S.</st1:country-region> law to investigate whether currency
undervaluation by a government provides a “countervailable subsidy”
and must do so if a <st1:country-region w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region>
industry requests investigation. In recent years, the Commerce Department
has been reluctant to exercise its authority under the law. This
legislation, therefore, seeks to strengthen and reaffirm existing law and the
Commerce Department’s obligations under the law.<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'> <o:p></o:p></span><O:P></O:P></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'>The legislation also makes it clear that the
Commerce Department is required to investigate currency undervaluation as a
“countervailable subsidy” if Treasury designates a
“priority” currency and a <st1:country-region w:st="on"><st1:place
w:st="on">U.S.</st1:place></st1:country-region> industry requests an
investigation. Under existing trade laws, if Commerce and the
International Trade Commission find that subsidized imports are causing
economic harm to a <st1:country-region w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region>
industry, the administration must impose duties on those imports to counter the
effect of the subsidy.<o:p></o:p></span><O:P></O:P></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><i><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";font-weight:bold;font-style:
italic'>Requires New Consultations. </span></font></i></b><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>The
legislation requires Treasury to engage in immediate consultations with all
countries cited in the report. For “priority” currencies,
Treasury would seek advice from the International Monetary Fund (IMF) as well
as key trading partners. <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><i><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";font-weight:bold;font-style:
italic'>Triggers Tough Consequences.</span></font></i></b><b><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS";
font-weight:bold'> </span></font></b><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS"'>For “priority”
currencies, important consequences are triggered unless a country adopts policies
to eliminate the misalignment.<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal style='text-indent:.25in'><u><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS"'>Immediately upon
designation of a “priority” currency, the administration must:</span></font></u><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>·</span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
</span></font><font size=2 face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS"'>Oppose any IMF governance changes that benefit a
country whose currency is designated for priority action. <o:p></o:p></span><O:P></O:P></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>·</span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
</span></font><font size=2 face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS"'>Determine whether to grant a country “market
economy” status for purpose of <st1:country-region w:st="on"><st1:place
w:st="on">U.S.</st1:place></st1:country-region> antidumping law.<o:p></o:p></span><O:P></O:P></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal style='text-indent:.25in'><u><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS"'>After 90 days of failure to
adopt appropriate policies, the administration must:</span><O:P></O:P></font></u><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in'><font size=2
color=black face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS";
color:black'>·</span></font><font size=2 color=black face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";color:black'>
</span></font><font size=2 color=black face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";color:black'>Reflect
currency undervaluation in dumping calculations for products produced or
manufactured in the designated country.</span><O:P></O:P></font><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>·</span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
</span></font><font size=2 face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS"'>Forbid federal procurement of goods and services
from the designated country unless that country is a member of the WTO
Government Procurement Agreement (“GPA”). <o:p></o:p></span><O:P></O:P></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>·</span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
</span></font><font size=2 face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS"'>Request the IMF to engage the designated country in
special consultations over its misaligned currency. <o:p></o:p></span><O:P></O:P></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>·</span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
</span></font><font size=2 face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS"'>Forbid Overseas Private Investment Corporation
(OPIC) financing or insurance for projects in the designated country. <o:p></o:p></span><O:P></O:P></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>·</span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
</span></font><font size=2 face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS"'>Oppose new multilateral bank financing for projects
in the designated country. <o:p></o:p></span><O:P></O:P></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal style='text-indent:.25in'><u><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS"'>After 360 days of failure
to adopt appropriate policies, the administration must:</span><O:P></O:P></font></u><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>·</span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
</span></font><font size=2 face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS"'>Require the U.S. Trade Representative to request
dispute settlement consultations in the World Trade Organization with the
government responsible for the currency. <o:p></o:p></span><O:P></O:P></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>·</span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
</span></font><font size=2 face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS"'>Require the Department of Treasury to consult with
the Federal Reserve Board and other central banks to consider remedial
intervention in currency markets. <o:p></o:p></span><O:P></O:P></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><i><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";font-weight:bold;font-style:
italic'>Limits Presidential Waiver. </span></font></i></b><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>The
President could initially waive the consequences that take effect after the
first 90 days if such action would harm national security or the vital economic
interest of the <st1:country-region w:st="on"><st1:place w:st="on">United
States</st1:place></st1:country-region>. However, the President must
explain to the Congress in writing how the adverse impact of taking an action
would be <i><span style='font-style:italic'>greater</span></i> than the
potential benefits of such action. Any subsequent economic waiver would
require the President to explain how the adverse impact of taking an action
would be substantially <i><span style='font-style:italic'>out of proportion</span></i>
to the benefits of such action. Furthermore, any Member of Congress may
thereafter introduce a joint resolution of disapproval concerning the
President’s waiver. Should the disapproval resolution be approved,
the President may veto it, and the Congress would have the opportunity to
override the veto.<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<div style='mso-element:para-border-div;border:none;border-bottom:double windowtext 6.75pt;
padding:0in 0in 1.0pt 0in'>
<p class=MsoNormal style='border:none;padding:0in'><b><i><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS";
font-weight:bold;font-style:italic'>Establishes New Consultative Body. </span></font></i></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>The
bill would create a new body with which Treasury must consult during the
development of its report. Of the nine members, one would be selected by
the President and the remainder by the Chairmen and Ranking Members of the
Senate Finance and Banking Committees, as well and the House Ways and Means and
Financial Services Committees. The members must have demonstrated
expertise in finance, economics, or currency exchange. <o:p></o:p></span></font></p>
<O:P></O:P>
<p class=MsoNormal style='border:none;padding:0in'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p> </o:p></span></font></p>
</div>
<p align=center style='text-align:center'><b><i><font size=3 color=gray
face="Trebuchet MS"><span style='font-size:12.0pt;font-family:"Trebuchet MS";
color:gray;font-weight:bold;font-style:italic'><br>
<st1:country-region w:st="on">China</st1:country-region>'s Currency
Manipulation Undermines <st1:country-region w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region>
Manufacturing Base By Making U.S.-Made Goods More Expensive Relative To Foreign
Goods<br>
<br>
Legislation Merges Two Measures Advanced Separately In Previous Congresses</span></font></i></b><font
color=gray face="Trebuchet MS"><span style='font-family:"Trebuchet MS";
color:gray'><o:p></o:p></span></font></p>
<p class=MsoNormal><st1:City w:st="on"><strong><b><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>WASHINGTON</span></font></b></strong></st1:City><strong><b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>,
<st1:State w:st="on">DC</st1:State></span></font></b></strong><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
– Responding to the failure of both Republican and Democratic
administrations to confront <st1:country-region w:st="on">China</st1:country-region>’s
currency manipulation, a bipartisan group of 14 <st1:country-region w:st="on">U.S.</st1:country-region>
senators announced new legislation Tuesday to vigorously address currency
misalignments that unfairly and negatively impact <st1:place w:st="on"><st1:country-region
w:st="on">U.S.</st1:country-region></st1:place> trade. If passed, the
legislation would provide less flexibility to the Treasury Department when it
comes to citing countries for currency manipulation. It would also impose stiff
new penalties on designated countries, including tariffs on the countries’
exports and a ban on any companies from those countries receiving <st1:country-region
w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region> government
contracts.<o:p></o:p></span></font></p>
<O:P></O:P>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'>The legislation was introduced by U.S.
Senators Charles E. Schumer (D-NY), Lindsey Graham (R-SC), Debbie Stabenow
(D-MI), Sam Brownback (R-KS), Sherrod Brown (D-OH), Olympia Snowe (R-ME), Evan
Bayh (D-IN), Ben Cardin (D-MD), Robert Casey (D-PA), Russ Feingold (D-WI),
Kirsten Gillibrand (D-NY), Carl Levin (D-MI), Jim Webb (D-VA), and Arlen
Specter (D-PA). The bill comes two days after the Chinese Premier sternly
rejected calls for <st1:country-region w:st="on"><st1:place w:st="on">China</st1:place></st1:country-region>
to float its currency, even though experts estimate it is undervalued by 25 to
40 percent compared to the dollar.<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Schumer said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“We are sending a message to the Chinese government: if you refuse to
play by the same rules as everyone else, we will force you to. <st1:country-region
w:st="on"><st1:place w:st="on">China</st1:place></st1:country-region>’s
currency manipulation would be unacceptable even in good economic times. At a
time of 10 percent unemployment, we simply will not stand for it. There is no
bigger step we can take to promote <st1:country-region w:st="on">U.S.</st1:country-region>
job creation, particularly in the manufacturing sector, than to confront <st1:country-region
w:st="on"><st1:place w:st="on">China</st1:place></st1:country-region>’s
currency manipulation. This is not about <st1:country-region w:st="on">China</st1:country-region>
bashing; it’s about defending the <st1:country-region w:st="on"><st1:place
w:st="on">United States</st1:place></st1:country-region>.”<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Stabenow said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“Our workers are losing their jobs because countries like <st1:country-region
w:st="on">China</st1:country-region> continue to place artificial discounts of
up to 40% on their products and then sell them here in <st1:country-region
w:st="on"><st1:place w:st="on">America</st1:place></st1:country-region>. This
unfair practice puts our manufacturers and businesses at an extreme
disadvantage and hurts our economy. That’s why I have joined with my Democratic
and Republican colleagues to introduce this bill to require the Departments of
Treasury and Commerce to take action and stop these countries from
cheating.” <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'> <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Brown said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“<st1:country-region w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region>
manufacturers can compete with anyone. But when <st1:country-region w:st="on"><st1:place
w:st="on">China</st1:place></st1:country-region> and other countries
manipulate currency, that’s not competition – it’s cheating.
Currency manipulation gives Chinese manufacturers a 40 percent cost advantage.
If we’re serious about boosting exports – and creating jobs in
American manufacturing – we need to crack down on practices like currency
manipulation. We owe it to American workers and American businesses. Trade
distorted by currency manipulation isn’t fair or free -- it’s a
sinkhole.”<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Brownback said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“After years of <st1:country-region w:st="on">China</st1:country-region>
refusing to be honest in its currency policy, I look forward to seeing the <st1:country-region
w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region> take a
definitive stance to bring an end to Chinese currency manipulation.
I’m glad to join a bipartisan group of my colleagues to combat this issue
that has very serious and very real consequences for the <st1:country-region
w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region>
economy.” <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Bayh said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“Currency manipulation costs American jobs and runs counter to fair trade
practices. American companies and workers can compete with anybody and sell
their products anywhere if they’re allowed to compete on a level playing
field. This legislation puts an end to the massive, artificial advantage that
countries engaging in currency manipulation give to their
businesses.” <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Snowe, a senior
member of the Senate Finance Committee, which has jurisdiction over trade
issues, said:</span></font></b><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS"'> “For too long,
excessive currency market intervention has given unearned advantages to our
foreign competitors at the expense of businesses and workers in the United
States. Manufacturers and workers in trade-sensitive industries – such as
paper production in <st1:State w:st="on">Maine</st1:State> – have been
harmed by <st1:country-region w:st="on">China</st1:country-region>’s
mercantilist trade practices and, unfortunately, the silence of our government
on <st1:country-region w:st="on"><st1:place w:st="on">China</st1:place></st1:country-region>’s
currency manipulation has become the silence of our factories. This
legislation will ensure our government has the tools to adequately address
these inequities and provide consequences for countries that violate our global
trade rules by holding down the value of their currency.”<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Cardin said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“As we focus on strengthening our economy and creating jobs, we cannot
lose sight of fair global trade practices – <st1:country-region w:st="on"><st1:place
w:st="on">America</st1:place></st1:country-region> cannot stand alone while
our competitors break the rules. <st1:country-region w:st="on"><st1:place
w:st="on">China</st1:place></st1:country-region>’s level of economic
growth and new capacity is a direct result of their currency manipulation. This
puts good jobs in <st1:State w:st="on"><st1:place w:st="on">Maryland</st1:place></st1:State>
and around the country at risk. A local <st1:State w:st="on"><st1:place w:st="on">Maryland</st1:place></st1:State>
company, NewPage Paper, is just one example of the good American companies
struggling to keep up with these types of unfair practices.”<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Casey said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“<st1:country-region w:st="on">China</st1:country-region>’s
currency manipulation has had a profound negative effect on <st1:country-region
w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region> workers,
industry and economy. <st1:country-region w:st="on"><st1:place w:st="on">China</st1:place></st1:country-region>
has been allowed to develop an unfair advantage while going virtually
unchecked. A comprehensive approach is required to level the playing
field for <st1:State w:st="on"><st1:place w:st="on">Pennsylvania</st1:place></st1:State>
workers.” <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Levin said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“American companies are not just competing against foreign companies;
they’re competing against foreign countries,” Levin
said. “This is especially true when foreign governments like <st1:country-region
w:st="on">China</st1:country-region> and <st1:country-region w:st="on"><st1:place
w:st="on">Japan</st1:place></st1:country-region> manipulate the value of their
currency to keep its value artificially low. Currency manipulation makes
Chinese and Japanese exports unfairly cheap and <st1:country-region w:st="on">U.S.</st1:country-region>
products more expensive in <st1:country-region w:st="on">China</st1:country-region>
and <st1:country-region w:st="on">Japan</st1:country-region>, displacing <st1:country-region
w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region> production
and jobs. This is nothing short of a government subsidy and we should be
doing all we can to fight back against such harmful unfair trade
practices.” <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color="#1f497d" face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";color:#1F497D'><O:P> </O:P></span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Feingold said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“Our trade agreements with <st1:country-region w:st="on">China</st1:country-region>
have been devastating for <st1:place w:st="on">Wisconsin</st1:place>
manufacturers and have contributed to tens of thousands of jobs leaving the
state. <st1:country-region w:st="on"><st1:place w:st="on">China</st1:place></st1:country-region>’s
manipulation of its currency puts American manufacturers at a huge
disadvantage. American businesses deserve a level playing field and our
government needs to take seriously these unfair practices that have been
hurting our national, state and local economies for years.”<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Gillibrand, a
member of the Senate Foreign Relations Committee, said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“These tough economic times have made it clear that <st1:country-region
w:st="on">China</st1:country-region>’s artificially low exchange rate is
hurting <st1:State w:st="on"><st1:place w:st="on">New York</st1:place></st1:State>’s
economy. Our manufacturers are being forced to compete on an unfair playing
field. This bipartisan legislation is a comprehensive approach to address the
situation and promote a fair exchange rate. I will continue to work with
Senators Schumer and Stabenow and the Administration to press <st1:country-region
w:st="on">China</st1:country-region> to adopt trade policies that do not hurt <st1:State
w:st="on"><st1:place w:st="on">New York</st1:place></st1:State> workers or
undermine the global economy.<font color="#1f497d"><span style='color:#1F497D'>”<O:P></O:P></span></font><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color="#1f497d" face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";color:#1F497D'><O:P> </O:P></span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Webb said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“<st1:country-region w:st="on">China</st1:country-region> has been
manipulating its currency for years, unfairly subsidizing its exports at the
expense of not only jobs here in the <st1:country-region w:st="on"><st1:place
w:st="on">United States</st1:place></st1:country-region>, but also to the
detriment of the world economy. This bill provides the tools to address these
practices and properly level the playing field.” <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color="#1f497d" face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";color:#1F497D'><O:P> </O:P></span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><b><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS";font-weight:bold'>Senator Specter said:</span></font></b><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
“We have lost 2.3 million jobs from 2001 and 2007 as a result of the
trade imbalance with <st1:country-region w:st="on">China</st1:country-region>,
due in no small part to the fact that <st1:country-region w:st="on"><st1:place
w:st="on">China</st1:place></st1:country-region> continues to manipulate its
currency. This legislation will help level the playing field and signals
our determination to take a stand to stop this form of international banditry
and help our domestic manufacturers.”<o:p></o:p></span></font></p>
<O:P></O:P>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'>By manipulating its currency, countries can
gain an unfair advantage over <st1:country-region w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region>
manufacturers by effectively lowering the price of their exports as compared to
domestic goods. Currency manipulation also imposes a direct cost on <st1:country-region
w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region> exports,
making American goods sold abroad more expensive. This creates an unfair trade
advantage, which ultimately harms <st1:country-region w:st="on">U.S.</st1:country-region>
manufacturers, workers, and farmers, and contributes significantly to the <st1:country-region
w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region> trade
imbalance.<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'>Currency misalignment and the continuing
trade imbalance with <st1:country-region w:st="on">China</st1:country-region>
have severely impacted the <st1:country-region w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region>
manufacturing sector in relation to both domestic sales and exports. The <st1:country-region
w:st="on"><st1:place w:st="on">U.S.</st1:place></st1:country-region> has lost
over 5.3 million manufacturing jobs in the last decade. Since the beginning
of the recession, millions of Americans have lost their jobs and unemployment
has been hovering around 10 percent for several months.<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'> <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'>The debate about <st1:country-region w:st="on">China</st1:country-region>’s
currency manipulation has been going on in the Senate since 2004, when the <st1:country-region
w:st="on">U.S.</st1:country-region> trade deficit with <st1:country-region
w:st="on">China</st1:country-region> ballooned to the largest imbalance ever
recorded with a single country, in part because <st1:country-region w:st="on"><st1:place
w:st="on">China</st1:place></st1:country-region> undervalued its currency by
pegging it to the U.S. dollar. In 2005, Schumer and Graham offered the
first legislation to combat <st1:country-region w:st="on"><st1:place w:st="on">China</st1:place></st1:country-region>’s
currency manipulation by imposing 27.5 percent tariffs on Chinese goods. The
bill helped put pressure on the <st1:country-region w:st="on"><st1:place w:st="on">China</st1:place></st1:country-region>,
which slowly began letting the yuan appreciate that same year. But today,
according to the Peterson Institute for International Economics, <st1:country-region
w:st="on"><st1:place w:st="on">China</st1:place></st1:country-region>’s
currency remains between 25 and 40 percent undervalued against the dollar. This
is fundamentally the same level of undervaluation that existed in 2005.<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'>In a written response to questions asked as
part of his confirmation hearing last year, Treasury Secretary Timothy Geithner
said that he believed <st1:country-region w:st="on"><st1:place w:st="on">China</st1:place></st1:country-region>
was manipulating its currency to create an unfair trade advantage. However,
Treasury stopped short of listing <st1:country-region w:st="on"><st1:place
w:st="on">China</st1:place></st1:country-region> as a currency manipulator in
its most recent report. While <st1:country-region w:st="on">China</st1:country-region>
has taken small steps to increase the value of the renminbi since they
threatened legislative action in 2007, <st1:country-region w:st="on"><st1:place
w:st="on">China</st1:place></st1:country-region> has not done enough and is
still keeping its currency misaligned in order to gain an unfair trade
advantage. <O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><em><i><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";font-style:normal'>The
Currency Exchange Rate Oversight Reform Act of 2010</span></font></i></em><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
combines the best elements of the Schumer-Graham bill that was passed by the
Senate Finance Committee in 2007 and a separate measure advanced by Senators
Stabenow, Brown and Snowe. It would:<O:P></O:P><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=msolistparagraph style='mso-margin-top-alt:0in;margin-right:0in;
margin-bottom:0in;margin-left:.5in;margin-bottom:.0001pt;text-indent:-.25in'><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>·</span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
</span></font><font size=2 face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS"'>Create a new approach to identifying currency manipulators
by requiring that the Treasury Department base its determination strictly on
objective measures related to currency exchange rates. Under current law,
Treasury also has to determine that the misalignment is a willful attempt to
gain a trade advantage before it can cite the country. The new legislation
would eliminate the need to show intent.</span></font><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'> <O:P></O:P><o:p></o:p></span></font></p>
<ul style='margin-top:0in' type=disc>
<li class=MsoNormal style='mso-list:l0 level1 lfo1'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>Establish
important consequences immediately upon designation, moderately severe consequences
if consultations have not resulted in appropriate policies and
identifiable actions to eliminate misalignment after 90 days, and more
severe consequences if consultations have not resulted in appropriate
policies and identifiable actions to eliminate misalignment after 360
days. <O:P></O:P></span></font><font size=2 face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></li>
</ul>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=msolistparagraph style='mso-margin-top-alt:0in;margin-right:0in;
margin-bottom:0in;margin-left:.5in;margin-bottom:.0001pt;text-indent:-.25in'><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>·</span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>
</span></font><font size=2 face="Trebuchet MS"><span style='font-size:10.0pt;
font-family:"Trebuchet MS"'>Establish two tracks by which the Department of
Commerce can take action should a foreign country refuse to float its
currency. One path would be to utilize anti-dumping laws to enable
Commerce to counter the effect of misaligned currency, as outlined in the
previous Schumer-Graham legislation<em><i><font face="Trebuchet MS"><span
style='font-family:"Trebuchet MS";font-style:normal'>. The other path,
originally contained in the Stabenow-Snowe-Brown legislation, would allow
Commerce to apply countervailing duties to goods coming into the <st1:country-region
w:st="on"><st1:place w:st="on">United States</st1:place></st1:country-region>
from nations that misalign their currency.</span></font></i></em></span></font><font
size=2 face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face="Trebuchet MS"><span style='font-size:
10.0pt;font-family:"Trebuchet MS"'><O:P> </O:P><o:p></o:p></span></font></p>
<p class=MsoNormal align=center style='text-align:center'><font size=2
face="Trebuchet MS"><span style='font-size:10.0pt;font-family:"Trebuchet MS"'>#
# #<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face="Trebuchet MS"><span
style='font-size:10.0pt;font-family:"Trebuchet MS";color:navy'><O:P><o:p> </o:p></span></font></p>
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