Washington (CNNMoney.com) - In what may be the bluntest assessment by a high-ranking White House official of China's exchange rate policy, Treasury Secretary Tim Geithner said Wednesday that China's undervalued currency makes the nation dependent on U.S. monetary policy.
"I think China will be better; they're stronger as an independent country if they're not running an exchange rate policy that, essentially, has the Federal Reserve of the United States setting monetary policy in China," Geithner told CNN's John King in an interview taped for "John King, USA." The interview will air at 7 p.m. ET.
Geithner added that he believes that over time the Chinese will appreciate their currency.
"I think many of them understand and they'll come to decide that it's in their interest, as they move," Geithner said. "I think it's quite likely they move over time."