U.S. Treasury Secretary Steven Mnuchin has called for a currency clause that would prevent competitive devaluations to be included in any trade talks with Japan.
The U.S. is seeking to include the requirement as part of the trade agreement, Mnuchin told reporters in Bali, Indonesia, where he’s attending the annual International Monetary Fund meetings.
Japan agreed last month to start talks on tariffs after nearly two years of foot-dragging, spooked by the threat of sanctions on its profitable auto sector. The U.S. is pressing Japan to cede more ground on trade even before the first round of talks on tariff reductions takes place. The two countries have agreed Japan would not grant U.S. farm goods more access than it has given other countries in existing pacts.
