He predicted that China would remain competitive in a broad range of manufactured products "even if the yuan were 25 percent higher."

As a matter of fact, quite a lot of member companies of the U.S.-China Business Council do not regard the yuan exchange rate as a major element affecting their competitive edge in the Chinese market. On the contrary, these companies are concerned with the politicizing of the currency issue, fearing a possible negative impact on their exports to China.

Making an issue of the yuan rate is not helpful to resolving the trade deficit. Instead, it will bring upsets and twists to the recovery process of the global economy at large.

As foreign-funded companies and joint ventures account for a big percentage of the export-oriented enterprises in China, the sharp appreciation of the yuan would increase the cost of their products and services. Their exports would drop dramatically and the customers in the West would have to spend more, which implies a blow to the global trade and economic recovery.

Pressuring China to revalue the yuan would also raise the expectations on overall appreciation of Asian currencies, which could lead to speculation and gambling of "hot money", thus disturbing the Asian and global financial order as a whole.

The Sunday Telegraph reported that currency derivative traders, having sucked up the White House spin, on Monday were betting on a 3 percent rise against the dollar.

It is well-known the Chinese economy has become a major engine for the world economy. A stable yuan is of vital significance to the global economic development and the stability of the international monetary system.

The United Nations Conference on Trade and Development (UNCTAD) warned on Tuesday that "expecting that China will leave its exchange rate to the mercy of totally unreliable markets and risk a Japan-like appreciation shock ignores the importance of its domestic and external stability for the region and for the globe."

In short, pressing China for a sharp appreciation of the yuan will bring benefit to no-one. The world is skeptical of the motives of those politicians who are eager to politicize the exchange rate. What the West, including the U.S., has to do is to readjust their policy, reform economic structure and take on their due international responsibility.