“They’re not currency manipulators,” President Donald Trump said of China in an interview with The Wall Street Journal. | Getty Trump reverses stances on China as currency manipulator, Ex-Im Bank

President Donald Trump backed off his campaign promise to label China a currency manipulator, saying Wednesday that doing so could strain the relationship between China and the United States as the two discuss handling the threat of nuclear weapons in North Korea.

“They’re not currency manipulators,” Trump said of China in an interview with The Wall Street Journal.


Trump reversed a number of campaign-trail positions in the interview published Wednesday, also saying he liked that Federal Reserve Chair Janet Yellen has kept interest rates low and signaling support for the U.S. Export-Import Bank.

During his presidential campaign, Trump said he would designate China as a currency manipulator on the first day of his presidency to “force China to the negotiating table.” And he criticized Yellen last year precisely because she kept interest rates low, accusing her of keeping rates “artificially low” to boost the economy and help President Barack Obama.

Trump had also bashed the Export-Import Bank, the federal government’s export credit agency, which has lacked full power in recent years because of vacant seats on its board. The bank is a frequent target of conservative groups who consider it a form of corporate welfare.

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But in Wednesday’s interview, Trump said the Ex-Im Bank helped small companies, and he said he would appoint two members to fill vacant seats on the bank’s board.

“Instinctively, you would say, ‘Isn’t that a ridiculous thing,’” Trump said. “But actually, it’s a very good thing. And it actually makes money, it could make a lot of money.”