# China won't use exchange rate for competition: Official | The Straits Times

> PBOC Governor Yi Gang said China and the US agreed to a market-oriented exchange rate mechanism and not to compete through currency devaluation. He said China will not use the exchange rate to boost exports or as a tool in the trade dispute.

- Date: 2019-03-10 · published 2019-03-10T12:00:00.000Z
- Category: policy · region China · magnitude medium
- Page: https://feedsoft.ai/events/60335-china-won-t-use-exchange-rate-for-competition-official-the-straits-times
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

The pledge against competitive devaluation reduces the risk of a weaker yuan cutting China's demand for US farm goods priced in dollars.

## Read by commodity

- USDCNY: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2017-09-24 | [China wants to reduce control of changes in yuan's exchange rate - Chinadaily.com.cn](https://feedsoft.ai/events/69191-china-wants-to-reduce-control-of-changes-in-yuan-s-exchange-rate-chinadaily-com.md) | +1.0% | +0.7% |
| USDCNY | 2021-06-18 | [Central bank targets exchange rate stability - Chinadaily.com.cn](https://feedsoft.ai/events/7118-central-bank-targets-exchange-rate-stability-chinadaily-com-cn.md) | +0.3% | +0.5% |
| USDCNY | 2022-01-22 | [Yuan exchange rate seen staying stable - Chinadaily.com.cn](https://feedsoft.ai/events/43359-yuan-exchange-rate-seen-staying-stable-chinadaily-com-cn.md) | +0.3% | -0.2% |
| USDCNY | 2019-10-11 | [U.S.-China currency deal won't change dollar-yuan dynamics  experts](https://feedsoft.ai/events/56819-u-s-china-currency-deal-won-t-change-dollar-yuan-dynamics-experts.md) | -0.5% | -1.7% |
| USDCNY | 2019-08-07 | [RMB Exchange Rate Is Undoubtedly Able to Remain Basically Stable at an Equilibrium and Adaptive Level-PBC Official Answers Press Questions on RMB Exchange Rate](https://feedsoft.ai/events/57795-rmb-exchange-rate-is-undoubtedly-able-to-remain-basically-stable-at-an.md) | +0.3% | +1.8% |

## Sources

- straitstimes.com: https://www.straitstimes.com/asia/east-asia/us-china-to-observe-market-forces-on-currencies-peoples-bank-of-china-governor-yi

---
Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.