By David J. Lynch, USA TODAY
WASHINGTON — Treasury Secretary Henry Paulson said Thursday that he is not convinced that Congress will enact legislation designed to punish China for a host of trade practices that critics in both parties say are costing millions of American jobs.
“I am not resigned to anything. It’s my job to make the case. … Legislation is the wrong course, and I am determined to do a better job of convincing them that’s the case,” Paulson told USA TODAY.
The Senate finance and banking committees have approved separate legislation that would pressure China to allow its currency to appreciate. The yuan is widely believed to be undervalued by 25% to 40%, providing Chinese products an unfair market advantage.
Paulson, who was in Beijing last week for meetings with Chinese officials including President Hu Jintao, also said he does not believe the U.S. should give additional scrutiny to investments here by state-owned Chinese funds.