China Exchange Rate Transparency Act of 2025

This proposal tells the U.S. representative at the International Monetary Fund (IMF) to push for more openness from China about how it manages the value of its money. It focuses on clearer information about China’s exchange rate policies, including any indirect actions through state banks or other financial arms. It also pushes the IMF to compare China’s policies with those of other major currencies used to set the value of Special Drawing Rights (SDRs), and to weigh China’s behavior as a responsible player when deciding IMF voting power in future reviews . Lawmakers note that the IMF rules already expect fair and transparent exchange rate practices, and that a recent U.S. Treasury report found China shares very little about how it manages its currency and interventions, making it hard to assess what’s going on .

These requirements end early if the IMF reports that China is largely following the rules and using policies similar to other SDR currencies. If not, they automatically end seven years after the law takes effect .

Key points:

• Who is affected: China (through IMF pressure), the IMF, and indirectly U.S. businesses and consumers who are impacted by currency practices and fair trade conditions .
• What changes: The U.S. pushes the IMF to demand more transparency from China about currency actions, include side-by-side comparisons with other major currencies, and consider China’s record when reviewing IMF governance and voting shares .
• When it ends: Either 30 days after the IMF says China is largely complying and aligned with other SDR currencies, or after seven years, whichever comes first .