China has now revalued its currency, the yuan, after it was pegged to the U.S. dollar at about 8.3 per dollar for a decade. The yuan has been revalued by 2.1%.
U.S. Deficit Will Narrow if China Revalues Currency
U.S. Treasury Secretary John Snow says that even if China decides to cooperate with the United States and revalue its currency, the U.S. will still have a trade deficit with China.