[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2146 Reported in Senate (RS)]
<DOC>
Calendar No. 236
119th CONGRESS
1st Session
S. 2146
To require the United States Executive Director at the International
Monetary Fund to advocate for increased transparency with respect to
exchange rate policies of the People's Republic of China, and for other
purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
June 24, 2025
Mr. McCormick (for himself and Ms. Cortez Masto) introduced the
following bill; which was read twice and referred to the Committee on
Foreign Relations
October 30, 2025
Reported by Mr. Risch, with an amendment
[Strike out all after the enacting clause and insert the part printed
in italic]
_______________________________________________________________________
A BILL
To require the United States Executive Director at the International
Monetary Fund to advocate for increased transparency with respect to
exchange rate policies of the People's Republic of China, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
<DELETED>SECTION 1. SHORT TITLE.</DELETED>
<DELETED> This Act may be cited as the ``China Exchange Rate
Transparency Act of 2025''.</DELETED>
<DELETED>SEC. 2. FINDINGS.</DELETED>
<DELETED> Congress makes the following findings:</DELETED>
<DELETED> (1) Under Article IV of the Articles of Agreement
of the International Monetary Fund, the People's Republic of
China has committed to orderly exchange rate arrangements, the
avoidance of exchange rate manipulation, and cooperation with
the Fund to ensure ``firm surveillance'' of the exchange rate
policies of the People's Republic of China. Pursuant to Article
VIII of the Articles of Agreement of the Fund, the Fund may
require the People's Republic of China to furnish data on gold
and foreign exchange holdings, including assets held by non-
official agencies of the People's Republic of China.</DELETED>
<DELETED> (2) In its November 2022 report, entitled
``Macroeconomic and Foreign Exchange Policies of Major Trading
Partners of the United States'', the Department of the Treasury
concluded, ``China provides very limited transparency regarding
key features of its exchange rate mechanism, including the
policy objectives of its exchange rate management regime and
its activities in the offshore [renminbi] market.''. The
Department continued: ``China's lack of transparency and use of
a wide array of tools complicate Treasury's ability to assess
the degree to which official actions are designed to impact the
exchange rate.''.</DELETED>
<DELETED> (3) In that report, the Department further noted,
``China's failure to publish foreign exchange intervention and
broader lack of transparency around key features of its
exchange rate mechanism make it an outlier among major
economies and warrants Treasury's close
monitoring.''.</DELETED>
<DELETED>SEC. 3. ADVOCACY FOR INCREASED EXCHANGE RATE TRANSPARENCY FROM
THE PEOPLE'S REPUBLIC OF CHINA.</DELETED>
<DELETED> (a) In General.--The Secretary of the Treasury shall
instruct the United States Executive Director at the International
Monetary Fund to use the voice and vote of the United States to
advocate for--</DELETED>
<DELETED> (1) increased transparency from the People's
Republic of China, and enhanced multilateral and bilateral
surveillance by the Fund, with respect to the exchange rate
arrangements of the People's Republic of China, including any
indirect foreign exchange market intervention through Chinese
financial institutions or state-owned enterprises;</DELETED>
<DELETED> (2) in connection with consultations with the
People's Republic of China under Article IV of the Articles of
Agreement of the Fund, the inclusion of any significant
divergences by the People's Republic of China from the exchange
rate policies of other issuers of currencies used in
determining the value of Special Drawing Rights; and</DELETED>
<DELETED> (3) during governance reviews of the Fund,
stronger consideration by members and management of the Fund of
the performance of the People's Republic of China as a
responsible stakeholder in the international monetary system
when evaluating quota and voting shares at the Fund.</DELETED>
<DELETED> (b) Sunset.--The requirement under subsection (a) shall
terminate on the date that is 30 days after the earlier of--</DELETED>
<DELETED> (1) the date on which the United States Governor
of the International Monetary Fund reports to Congress that the
People's Republic of China--</DELETED>
<DELETED> (A) is in substantial compliance with
obligations of the People's Republic of China under the
Articles of Agreement of the Fund regarding orderly
exchange rate arrangements; and</DELETED>
<DELETED> (B) has undertaken exchange rate policies
and practices consistent with those of other issuers of
currencies used in determining the value of Special
Drawing Rights; or</DELETED>
<DELETED> (2) the date that is 7 years after the date of the
enactment of this Act.</DELETED>
SECTION 1. SHORT TITLE.
This Act may be cited as the ``China Exchange Rate Transparency Act
of 2025''.
SEC. 2. FINDINGS.
Congress makes the following findings:
(1) Under Article IV of the Articles of Agreement of the
International Monetary Fund, the People's Republic of China has
committed to orderly exchange rate arrangements, the avoidance
of exchange rate manipulation, and cooperation with the Fund to
ensure ``firm surveillance'' of the exchange rate policies of
the People's Republic of China. Pursuant to Article VIII of the
Articles of Agreement of the Fund, the Fund may require the
People's Republic of China to furnish data on gold and foreign
exchange holdings, including assets held by non-official
agencies of the People's Republic of China.
(2) In its November 2022 report, entitled ``Macroeconomic
and Foreign Exchange Policies of Major Trading Partners of the
United States'', the Department of the Treasury concluded,
``China provides very limited transparency regarding key
features of its exchange rate mechanism, including the policy
objectives of its exchange rate management regime and its
activities in the offshore [renminbi] market.''. The Department
continued: ``China's lack of transparency and use of a wide
array of tools complicate Treasury's ability to assess the
degree to which official actions are designed to impact the
exchange rate.''.
(3) In that report, the Department further noted, ``China's
failure to publish foreign exchange intervention and broader
lack of transparency around key features of its exchange rate
mechanism make it an outlier among major economies and warrants
Treasury's close monitoring.''.
SEC. 3. ADVOCACY FOR INCREASED EXCHANGE RATE TRANSPARENCY FROM THE
PEOPLE'S REPUBLIC OF CHINA.
(a) In General.--The Secretary of the Treasury shall instruct the
United States Executive Director at the International Monetary Fund to
use the voice and vote of the United States to advocate for--
(1) increased transparency from the People's Republic of
China, and enhanced multilateral and bilateral surveillance by
the Fund, with respect to the exchange rate arrangements of the
People's Republic of China, including any indirect foreign
exchange market intervention through Chinese financial
institutions or state-owned enterprises;
(2) in connection with consultations with the People's
Republic of China under Article IV of the Articles of Agreement
of the Fund, the inclusion of any significant divergences by
the People's Republic of China from the exchange rate policies
of other issuers of currencies used in determining the value of
Special Drawing Rights;
(3) during governance reviews of the Fund, stronger
consideration by members and management of the Fund of the
performance of the People's Republic of China as a responsible
stakeholder in the international monetary system when
evaluating quota and voting shares at the Fund; and
(4) increased transparency regarding the mechanisms through
which the People's Republic of China utilizes Hong Kong's
financial system to influence exchange rate arrangements and
the value or use of Special Drawing Rights.
(b) Annual Reports on Implementation.--Not later than one year
after the date of the enactment of this Act, and annually thereafter
until the termination date described in subsection (c), the Secretary
of the Treasury shall submit to Congress a report that--
(1) describes the specific actions taken by the United
States Executive Director at the International Monetary Fund in
the year preceding submission of the report to carry out
subsection (a); and
(2) describes in detail the extent of the compliance of the
People's Republic of China regarding transparency and any
significant divergences noted in consultations under Article IV
of the Articles of Agreement of the Fund.
(c) Sunset.--The requirement under subsection (a) shall terminate
on the date that is 30 days after the earlier of--
(1) the date on which the United States Governor of the
International Monetary Fund reports to Congress that the
People's Republic of China--
(A) is in substantial compliance with obligations
of the People's Republic of China under the Articles of
Agreement of the Fund regarding orderly exchange rate
arrangements; and
(B) has undertaken exchange rate policies and
practices consistent with those of other issuers of
currencies used in determining the value of Special
Drawing Rights; or
(2) the date that is 7 years after the date of the
enactment of this Act.
Calendar No. 236
119th CONGRESS
1st Session
S. 2146
_______________________________________________________________________
A BILL
To require the United States Executive Director at the International
Monetary Fund to advocate for increased transparency with respect to
exchange rate policies of the People's Republic of China, and for other
purposes.
_______________________________________________________________________
October 30, 2025
Reported with an amendment