Stop blaming China, says AmCham

The US should focus on enhancing its overall economic competitiveness instead of seeking protectionism to combat its economic slowdown, said the latest 2008 White Paper: American Business in China.

And, it should not press for yuan appreciation to reduce its trade deficit with China since the value of the yuan is not the fundamental cause of the deficit, said the White Paper, which was released by the American Chamber of Commerce (AmCham) China, AmCham Shanghai and AmCham South China yesterday.

Battered by the subprime crisis, the US economy is slowing while its trade deficit with China remains high, standing at $163.3 billion last year. The deficit, coupled with the ongoing presidential election campaign in which some candidates have fanned anti-China sentiments to woo voters, has triggered protectionism against Chinese goods and investment in the US.