Congressional tempers will be especially hot if the Treasury Department, in a
report scheduled to be issued next month -- though it often is delayed -- again
fails to formally label China as a currency manipulator, Vargo said.
Commerce Secretary Carlos Gutierrez will also be in China later this week to
prepare for the April 11 Joint Committee on Commerce and Trade (JCCT) meeting.
He will be proceeded by two other top U.S. officials -- Deputy U.S. Trade
Representative Karan Bhatia and Commerce Undersecretary Franklin Lavin.
Gutierrez has warned the JCCT meeting could be called off if Beijing is not
prepared to address a number of trade irritants, including piracy and
counterfeiting of U.S. goods and continued obstacles to U.S. imports.
Washington also wants China to follow through on a promise to join the World
Trade Organization's government procurement agreement, opening up new markets
for many American companies.
Concrete action on those fronts could buy Beijing more time from Congress to
gradually revalue its currency, said Cal Cohen, president of the Emergency
Committee for American Trade.
"I believe what members are looking for is momentum ... China needs to
demonstrate in some areas they are ready to move forward," Cohen
said.