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Japan wants China to make its yuan currency flexible, its top government spokesman said on Friday, but Prime Minister Junichiro Koizumi noted that it was up to China to decide how to reform the yuan regime.
"There is no change to our position that (the yuan) needs to be flexible and reflect China's economic fundamentals," Chief Cabinet Secretary Shinzo Abe told a news conference, when asked for his reaction to talks on Thursday between US and Chinese officials on yuan reforms. Koizumi, asked about the US-China talks, said reforming the yuan regime, which many analysts think is still rigid, would produce positive effects but added: "It is up to China to decide (how to reform it)."

Copyright Reuters, 2006

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