U.S. Treasury Secretary Jacob Lew is taking on Sens. Robert Portman (R-OH) and Debbie Stabenow (D-MI) with a new warning that the administration would veto a final Trade Promotion Authority (TPA) bill if it includes the senators' amendment on currency manipulation.
[Reposted from Inside US Trade | May 19, 2015]
In a letter sent Tuesday (May 19) to the heads of the Senate Finance Committee that was publicly released by Treasury, Lew said the Obama administration "cannot support the inclusion of amendment 1299 in TPA," in reference to the Portman-Stabenow amendment.
The amendment would make it a "principal negotiating objective" of the U.S. in the TPA bill that future trade agreements include enforceable disciplines against exchange rate intervention.
Lew also repeated an administration argument that rules on currency could inadvertently open U.S. monetary policy to challenge from trading partners. "Implementing amendment 1299 could put at risk our ability to take steps needed to protect the U.S. economy in the future, and would be counterproductive to our broader efforts to address unfair currency practices.”
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