Beijing (Web Desk): China's yuan on Friday fell to its lowest level this year against the US dollar following Donald Trump's threat of new tariffs on Chinese goods.
The yuan tumbled to 6.9520 to the dollar, its lowest level since December, but recovered slightly by midday.
Trump's tariff hikes in a fight over China's trade surplus and technology ambitions have put downward pressure on the yuan by fuelling fears economic growth might weaken.
Chinese leaders have promised to avoid “competitive devaluation” to boost exports by making them less expensive abroad. But regulators are trying to make the state-controlled exchange rate more responsive to market forces, which are pushing the yuan lower.
