China Exchange Rate Transparency Act of 2025

The China Exchange Rate Transparency Act of 2025 would instruct the United States to push for greater openness from the People's Republic of China (PRC) regarding its exchange rate policies through the U.S. representative at the International Monetary Fund (IMF). Specifically, the Secretary of the Treasury would direct the U.S. Executive Director at the IMF to use the United States’ voice and vote to advocate for more transparency about China’s exchange rate framework, including any indirect interventions in foreign exchange markets via Chinese financial institutions or state-owned enterprises. The bill also requires that significant divergences between China’s exchange rate practices and those of other major currency issuers be highlighted during IMF Article IV consultations and during IMF governance reviews affecting China’s quota and voting shares. The measure includes a sunset provision: the advocacy requirement ends when either (a) China is in substantial compliance with IMF obligations on orderly exchange rate arrangements and aligns its policies with other SDR currency issuers, or (b) seven years after enactment, whichever comes first.