US has removed China's currency from its currency manipulator list in a move that is aimed at making things right ahead of Wednesday's trade deal signing at the White House led by President Trump and China officials.
CNN on Monday reported that the Treasury Department found no major trading partners that had infringed on troubling foreign exchange practices that would activate the label though China and other US trading partners such as Germany, Italy, Japan, Korea and Vietnam had been placed on the watch list.
"China has made enforceable commitment to refrain from competitive devaluation while promoting transparency and accountability," Treasury Secretary, Steven Mnuchin said.
BBC reported that the deal is aimed at decreasing 'revengeful' tariff witnessed between the two countries since 2018.
"In this context, Treasury has determined that China should no longer be designated as a currency manipulator at this time," Treasury said.
According to the New York Times, Trump had on August 2019, accused China of weakening its currency, the Renmnibi so as to cheapen its goods and sell overseas.