China Currency Message Stronger Than Chance of Sanctions

The U.S. Senate’s vote to punish China for depressing its currency to promote cheap exports is the latest legislative ritual in which the message may be as important as the proposed sanction.

U.S. House Speaker John Boehner practically declared the measure dead on arrival in the Republican-run chamber after the Senate’s 63-35 vote last week to let U.S. manufacturers seek duties on Chinese imports if they prove they were harmed by manipulation of the renminbi. Boehner, of Ohio, voiced “grave concerns” the measure may trigger a trade war.