In its semiannual report to Congress, the U.S Treasury reviewed and assessed the macroeconomic and foreign exchange policies of its major U.S. trading partners in 2025.
For the report, Treasury analyzed the practices of the United States’ major trading partners and concluded that no major U.S. trading partner manipulated the rate of exchange to prevent the effective balance of payments adjustments or gain unfair competitive advantage in international trade.
“For decades, unfair currency practices abroad have contributed to the U.S. trade deficit and the hollowing out of U.S. manufacturing employment. When a trading partner engages excessively in foreign exchange market interventions or other actions to artificially lower the value or suppress appreciation of its currency, it imposes significant hardship on American workers and companies for its own gain,” Treasury Secretary Scott Bessent said.
Treasury also found that no major trading partner met all three criteria for enhanced analysis under the Trade Facilitation and Trade Enforcement Act of 2015. However, 10 economies are on Treasury’s “Monitoring List” of major trading partners whose currency practices and macroeconomic policies merit close attention: China, Japan, Korea, Taiwan, Thailand, Singapore, Vietnam, Germany, Ireland, and Switzerland. All were on the list in the January 2026 report.
While Treasury has not designated China as a currency manipulator, China continues to stand out among the United States’ major trading partners in its relative lack of transparency around its exchange rate policies and practices. This relative lack of transparency will not preclude Treasury from designating China if available evidence suggests that it is intervening through formal or informal channels to resist RMB appreciation in the future, the department said.