Officials Of The Ministry Of Commerce Denied That The Proposal To Slow Down The Appreciation Of The Renminbi In The Second Half Of The Year Was Reported.

The Ministry of Commerce has submitted a report to the State Council, suggesting that the rate of appreciation of the Renminbi should be slowed down. The export tax rebates for a series of labor intensive products such as textiles, footwear and toys should be callback to alleviate the pressure of foreign trade enterprises.

Liu Haiquan, deputy director of the comprehensive Department of the Ministry of Commerce, said in an interview with the twenty-first Century economic report in July 15th that the report was not true.

Although the Ministry of Commerce explicitly denied the suggestion that the State Council should slow down the speed of RMB appreciation in the second half of the year, a person familiar with the matter revealed to the newspaper that "the speed of RMB appreciation" has also been mentioned in the situation analysis meeting of other ministries and commissions, and the slowdown in the second half of this year is still possible.

But there are signs that structural adjustment is more likely in the second half of the year than policy change or loosening.