India removed from US currency monitoring list

"India has been removed from the list after it met only one out of three criteria, necessary for inclusion on the monitoring list, — a significant bilateral surplus with the US — for two consecutive reports," said the US Treasury Department on Tuesday in its semi-annual report on macroeconomic and foreign exchange policies of major trading partners of the US sent to the Congress.

For the first time last year, India was placed in the currency monitoring list of countries with potentially questionable foreign exchange policies along with five other countries - China, Germany, Japan, South Korea and Switzerland.
The Trump administration has used currency policy to reset global trade rules that it says have hurt American businesses and consumers.

“The Treasury Department is working vigorously to achieve stronger growth and to ensure that trade expands in a way that helps US workers and firms and protects them from unfair foreign trade practices. Treasury takes seriously any potentially unfair currency practices, and Treasury is expanding the number of US trading partners it reviews to make currency practices fairer and more transparent,” said Treasury Secretary Steven T. Mnuchin.

The department said it is working actively to dismantle unfair barriers to trade and achieve freer and more reciprocal trade with major US trading partners. This includes combatting unfair currency practices that facilitate competitive advantage, such as unwarranted intervention in currency markets.

The department found that nine major trading partners continue to warrant placement on Treasury’s “Monitoring List” of major trading partners that merit close attention to their currency practices: China, Germany, Ireland, Italy, Japan, Korea, Malaysia, Singapore, and Vietnam.