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US Treasury finds no trading partner manipulated currency for trade advantage in 2025

Created at 23 Jul · 8:06 PM1 source↑ Market-relevant
IN SHORT

The U.S. Treasury Department stated that no major trading partner manipulated its currency for unfair trade advantage in 2025. However, ten economies remain on a monitoring list for their foreign exchange practices.

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Key Numbers

10economies on Treasury's monitoring list
2025year of analysis for currency manipulation
1988year of the Omnibus Trade and Competitiveness Act
2015year of the Trade Facilitation and Trade Enforcement Act

Who's Involved

U.S. Treasury Department
released semi-annual currency report
China
on Treasury's monitoring list
Japan
on Treasury's monitoring list
Korea
on Treasury's monitoring list
Taiwan
on Treasury's monitoring list
Thailand
on Treasury's monitoring list, met one criterion
Singapore
on Treasury's monitoring list, met one criterion
Vietnam
on Treasury's monitoring list
Germany
on Treasury's monitoring list
Ireland
on Treasury's monitoring list
Switzerland
on Treasury's monitoring list, met one criterion

↳ Why This Matters

The Treasury's findings influence global trade relations and could impact the economic policies of listed nations, potentially affecting currency markets and international trade flows.

Key facts

  • The U.S. Treasury Department's latest semi-annual currency report found no major trading partner manipulated its currency for unfair trade advantage in 2025.
  • Ten economies remain on the Treasury's monitoring list: China, Japan, Korea, Taiwan, Thailand, Singapore, Vietnam, Germany, Ireland, and Switzerland.
  • Countries are placed on the monitoring list if they meet two of three criteria: significant bilateral trade surplus with the U.S., material current account surplus, or persistent, one-sided intervention in the foreign exchange market.
  • Thailand, Singapore, and Switzerland each met only one of the criteria and may be removed from the list in the next report.

The U.S. Treasury Department announced on Thursday that no major trading partner engaged in currency manipulation for unfair trade advantages in 2025, according to its latest semi-annual currency report. The analysis, conducted under the Omnibus Trade and Competitiveness Act of 1988, also found that no countries met all three criteria for enhanced currency practice analysis.

Despite the absence of manipulation findings, ten economies will remain on Treasury's 'monitoring list' due to their currency practices and macroeconomic policies. These countries are China, Japan, Korea, Taiwan, Thailand, Singapore, Vietnam, Germany, Ireland, and Switzerland, all of whom were also on the list in the previous January 2026 report.

Placement on the monitoring list is based on meeting two of three criteria outlined in the Trade Facilitation and Trade Enforcement Act of 2015: a significant bilateral trade surplus with the U.S., a material current account surplus, or persistent, one-sided intervention in the foreign exchange market. Thailand, Singapore, and Switzerland each met only one of these criteria and face potential removal from the list if they continue to meet fewer than two in the subsequent report.

Historically, the report focused on countries resisting dollar appreciation to keep exports cheaper. However, starting in January, the Treasury expanded its monitoring to include how economies manage exchange rates to resist depreciation pressures, similar to how they manage appreciation pressures.

Frequently asked questions

The report assesses whether major trading partners are manipulating their currencies to gain an unfair trade advantage and monitors their foreign exchange practices and macroeconomic policies.

The ten countries on the monitoring list are China, Japan, Korea, Taiwan, Thailand, Singapore, Vietnam, Germany, Ireland, and Switzerland.

Countries are placed on the list if they meet two of three criteria: a significant bilateral trade surplus with the U.S., a material current account surplus, or persistent, one-sided intervention in the foreign exchange market.

What Happens Next

01Treasury will continue monitoring the currency practices and macroeconomic policies of the ten listed economies.
02Thailand, Singapore, and Switzerland will be assessed in the next report to determine if they meet fewer than two criteria for the monitoring list.

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How It Developed

The U.S. Treasury Department released its latest semi-annual currency report.
No major trading partner was found to have manipulated its currency for unfair trade advantage in 2025.
Ten economies remain on Treasury's monitoring list for their currency practices and macroeconomic policies.
Thailand, Singapore, and Switzerland met only one of the three criteria for the monitoring list.
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Sources

T1
US Treasury finds no trading partner manipulated currency for trade advantage in 2025Reuters

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