The US government is proposing regulatory amendments that would give it new firepower against countries it thinks are artificially weakening their currencies.

The new trade policy tool, if enacted, would enable the government to raise tariffs to protect sectors it deems are being harmed by deliberately undervalued foreign currencies.

At the moment, US-based companies can request “countervailing duty” relief if they feel they are being harmed by a foreign subsidy. The Department of Commerce and