By Vicki Needham - 05/22/12 05:48 PM EDT
They wrote that currency manipulation can "negate the trade liberalizing effects of tariff reductions."
At a recent Group of 20 meeting, the United States sought a commitment from other governments “to refrain from exchange rate policies designed to achieve competitive advantage by either weakening their currency or preventing appreciation of an undervalued currency,” they wrote.
Those backing the policy include trade associations representing U.S. automakers and the auto parts supply chain, steel producers and other high-tech manufacturers.
“We want to keep this recovery in motion, but nothing can erode the benefits of more open trade, or stop a manufacturing recovery faster, than predatory currency manipulation," said Scott Paul, executive director of AAM.
"The coalition shares a concern that competitive devaluation of currency can distort world markets and impede open trade," he said.