The exchange rate of the yuan was part of the agenda of the first round of China-US Comprehensive Economic Dialogue starting in Washington on Wednesday. Although the yuan's exchange rate is not the most sensitive bilateral economic issue, Washington considers it is important because China's trade surplus with the United States remains high.

Washington has always kept a close eye on the yuan's exchange rate against the US dollar, fearing it would lead to further trade imbalance. The appreciation or depreciation of the yuan may have something to do with the US' trade deficit with China, but it does not decide the volume of bilateral trade.

The fact is, the yuan's exchange rate against the dollar has been largely stable after hitting a six-year low in December, a month before Donald Trump was sworn in as US president. And it was not the only currency that depreciated against a strong dollar following Trump's vow to revitalize bricks-and-mortar industries in the US.