China’s central bank has firmly refuted allegations that the yuan is undervalued, as trade negotiations with the European Union continue. In a detailed statement released on Thursday, the People’s Bank of China (PBoC) defended its currency management policies, arguing that exchange-rate adjustments alone cannot fix deeper economic imbalances worldwide.
The PBoC’s formal document, accompanied by an English translation, emphasized that China’s strong export performance is due to industrial competitiveness rather than currency manipulation. This stance comes amid growing criticism from EU officials, who have pointed to exchange rates as a factor in trade imbalances.
The central bank’s rebuttal underscores China’s position as trade talks with the EU progress, highlighting the broader debate over global economic structures and currency policies.