TAIPEI (Taiwan News) — Taiwan has been kept on the US Department of the Treasury's currency manipulation monitoring list, even as Washington said it found no evidence that major trading partners were manipulating their exchange rates.
The treasury on Thursday submitted its semiannual report to Congress on the macroeconomic and foreign exchange policies of major US trading partners, which account for 78% of US trade in goods and services, per CNA. According to the report, none of these partners manipulated their currencies against the US dollar in the 12 months up to June 2025.
Nevertheless, the report kept Taiwan, China, Japan, South Korea, Singapore, Vietnam, Germany, Ireland, and Switzerland on its monitoring list, while adding Thailand. The treasury said it will closely monitor their currency practices and broader economic policies.
The report said that, except for Singapore, all of these trading partners met the criteria for having both a “significant bilateral trade surplus” and a “material current account surplus.” Singapore, meanwhile, met the criteria for “persistent, one-sided intervention in the foreign exchange market.”
US Treasury Secretary Scott Bessent said that, in support of US President Donald Trump’s “America First Trade Policy,” the department has strengthened its analysis of trading partners’ currency policies and practices. He added this helps the Treasury evaluate the exchange rate policies and practices of the US’ key trading partners.
The treasury said that it has since spring 2025 held discussions with trading partners frequently included on the foreign exchange report watch list. So far, joint statements have been issued with Japan, Switzerland, Malaysia, Thailand, South Korea, and Taiwan.
The report said Taiwan continued to maintain an “extremely large current account surplus” during the reporting period, mainly driven by increased demand for technology products. Taiwan’s bilateral trade surplus with the US rose sharply, continuing a trend seen over the past five years.
During the period, Taiwan’s Central Bank made modest net foreign exchange purchases, most of which occurred in May amid heightened market volatility. Despite this, the Taiwan dollar appreciated 11.2% against the US dollar during the report period, though it has partially retreated in recent months.
The report also said that under the framework of the American Institute in Taiwan and the Taipei Economic and Cultural Representative Office in the US, Taiwan’s Central Bank pledged in a joint statement with the US Treasury on Nov. 14, to disclose its foreign exchange intervention data at least once per quarter.
