May 21,2015

Press Contact:

Aaron Fobes, Julia Lawless (202)224-4515

Momentum Builds for Hatch-Wyden Approach to Currency Manipulation

With the Senate slated to vote on amendments to help curb currency manipulation this week, the Hatch-Wyden approach (#1411) continues to gain momentum.

Recognizing Treasury Secretary Jack Lew’s concern that, “enacting a TPA currency discipline that requires an enforceable negotiating objective would likely derail our efforts to complete the [Trans Pacific Partnership] TPP” Agriculture Secretary Tom Vilsack said, the Administration would support your [#1411] co-sponsored amendment, which would allow us to develop additional mechanisms to hold our trading partners accountable while continuing to ensure meaningful gains in agricultural market access.”

And, concern over the possible inclusion of enforceable currency provisions in trade agreements is growing.

25 food and agricultural groups said such provisions, ...would most likely kill the TPP negotiations and put “the huge potential export and job gains through the TPP” at risk.  Americans for Tax Reform (ATR) agreed saying such provisions would go, “…beyond strong protections already written into the TPA under consideration.”

That’s why nearly 40 business and agricultural groups have said theHatch-Wyden approach to currency manipulations is the better way saying amendment #1411,...”reflects a careful balance of interests and an awareness of the conflicts that can arise when trade policy mechanisms are used to address monetary policy challenges.”  

And the National Taxpayers Union (NTU) has said, “While Congress should exercise great caution when it comes to efforts to intervene in other countries’ currency policies, the Hatch-Wyden amendment, is an improvement...”