[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 1048 Introduced in Senate (IS)]







109th CONGRESS
  1st Session
                                S. 1048

     To amend the Exchange Rates and International Economic Policy 
Coordination Act of 1988 to clarify the definition of manipulation with 
              respect to currency, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 17, 2005

  Mr. Schumer (for himself, Mr. Graham, Ms. Stabenow, and Mr. Durbin) 
introduced the following bill; which was read twice and referred to the 
            Committee on Banking, Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
     To amend the Exchange Rates and International Economic Policy 
Coordination Act of 1988 to clarify the definition of manipulation with 
              respect to currency, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. AMENDMENTS RELATING TO INTERNATIONAL FINANCIAL POLICY.

    (a) Bilateral Negotiations.--Section 3004(b) of the Exchange Rates 
and International Economic Policy Coordination Act of 1988 (22 U.S.C. 
5304(b)) is amended in the second sentence by striking ``(1) have 
material global account surpluses; and (2)''.
    (b) Definition of Manipulation.--Section 3006 of the Exchange Rates 
and International Economic Policy Coordination Act of 1988 (22 U.S.C. 
5306) is amended by adding at the end the following:
            ``(3) Manipulation of rate of exchange.--For purposes of 
        this Act, a country shall be considered to be manipulating the 
        rate of exchange between its currency and the United States 
        dollar if there is a protracted large-scale intervention in one 
        direction in the exchange markets.''.
    (c) Report.--Section 3005(b) of the Exchange Rates and 
International Economic Policy Coordination Act of 1988 (22 U.S.C. 
5305(b)) is amended--
            (1) by striking ``and'' at the end of paragraph (7);
            (2) by striking the period at the end of paragraph (8) and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(9) a detailed explanation of the test the Secretary uses 
        to determine whether or not a country is manipulating the rate 
        of exchange between that country's currency and the dollar for 
        purposes of preventing effective balance of payments 
        adjustments or gaining an unfair advantage in international 
        trade.''.
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