China’s currency has weakened to its lowest point in more than a decade, prompting the US to label Beijing a currency manipulator.
The US move came on Monday, after the currency fell below 7 yuan to the US dollar for the first time since 2008.
Beijing has previously sought to prevent the currency from slipping below the symbolic level.
The escalation of the trade war, sparked by fresh US tariff threats, is seen to have prompted the policy shift.
On Monday, the People’s Bank of China (PBOC) said the slump in the yuan was driven by “unilateralism and trade protectionism measures and the imposition of tariff increases on China”.
It comes days after US President Donald Trump said