Government says rising yuan could destroy Chinese jobs
11 May 2007
China's steadily appreciating currency will result in millions of lost jobs, a new report by the Ministry of Labor and Social Security found, the South China Morning Post reported. Some 3.5 million workers will become unemployed and at least 10 million farmers will be affected if the yuan appreciates another 5-10%. The textile, apparel, shoe-making, toy and motorcycle industries will be most affected by a stronger yuan. The yuan hit a new high of 7.6951 to the US dollar Tuesday. It has appreciated by more than 5% since July 2005, when it was placed in a controlled float against the dollar.