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Automobile industry

American Automotive Policy Council Objects to Japan's Plea for Intervention in Foreign Exchange Markets

Strategic Insights

— 1 min read

The American Automotive Policy Council, representing major US automakers, has expressed strong opposition to the Japan Auto Manufacturers Association's request for government intervention in foreign exchange markets to weaken the yen. The council's president, Stephen Collins, emphasized the importance of market-determined currency exchange rates for free trade, warning against government interference that could give exporters an unfair advantage. This stance comes as Japan's government considers measures to combat the yen's strength, which could have far-reaching implications for the global economy.

Key Takeaways:

  • The American Automotive Policy Council (AAPC) strongly objects to the Japan Auto Manufacturers Association's (JAMA) request for government intervention in foreign exchange markets.
  • AAPC President Stephen Collins argues that government intervention in currency exchange rates undermines free trade and gives exporters an unfair advantage.
  • The yen's strength is a concern for Japan's economy, with JAMA's President, Toshiyuki Shiga, stating that it could have a negative impact on the country's economy.
  • The Japanese Government has a history of intervening in foreign currency markets to boost exports and discourage imports.
  • AAPC represents the common public policy interests of its member companies: Chrysler Group LLC, Ford Motor Company, and General Motors Company.
  • The AAPC is a Washington, D.C.-based non-profit trade association.

Statistics:

  • The American Automotive Policy Council represents three major US automakers.
  • The Japanese Government has intervened in foreign currency markets to boost exports and discourage imports.
  • The yen's strength is a concern for Japan's economy, which could have far-reaching implications for the global economy.
  • The AAPC is a Washington, D.C.-based non-profit trade association.

Sources:

  • "American Automotive Policy Council (AAPC)" via VerticalNews.com.
  • China Weekly News editors.

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