China will not bow to US pressure to allow currency to rise, adviser says

BEIJING - China will not repeat Japan's mistake in the 1980s and let its exchange rate surge in response to foreign pressure, said an adviser of China's central bank on Sunday, firing back at increasing pressure from the United States over China's foreign exchange rate policy.

Li Daokui, an economist and member of the monetary policy committee of the People's Bank of China, said the exchange rate is just one of the many tools that China could deploy to adjust the structure of its economy. The country may choose other means, such as boosting domestic consumption and increasing imports, to achieve a trade balance, he said.