By John Shaw

WASHINGTON (MNI) - Rep. Sander Levin, the acting chairman of the House Ways and Means Committee, Wednesday escalated his criticism of China's currency policies, saying that China has made "no progress" on reforming its currency since the panel's hearing on the matter in April.

In an opening statement before a hearing on China's trade and industrial policies, Levin said that congressional patience on currency reform in China is wearing very thin.

He said the coming G-20 meeting in Toronto will be an "important juncture" and that concrete changes on currency reform must be seen soon.

If China doesn't begin reforming its currency soon, "the Congress will act," Levin said.

Levin did not specify what actions might be forthcoming.

Rep. Dave Camp, the top Republican on the Ways and Means panel, also offered tough words on China.

He said there is a broad consensus in Congress for a simple proposition: "China is not acting in good faith and is aggressively engaged in a series of troubling and downright protectionist policies that put our economic relationship at risk," Camp said.

Camp said that he wonders if the administration is being tough enough on China on a range of issues from intellectual property to non tariff barriers.

He said that while the administration must be more forceful in its bilateral dealings with China on a range of economic issues, it must enlist international support.

"My experience tells me that unified multimeter pressure is not only the most effective way but sometimes the only way to address underlying problems with China," he said.

Congressional criticisms of China have been mounting this summer, a fact that Treasury secretary Tim Geithner does not appear to be discouraging

The Treasury secretary may believe that a significant ratcheting up of congressional criticism of China's currency policies will get the attention of Chinese leaders in a way his private negotiations haven't.

A group of lawmakers is now pushing a bill that would compel Treasury to report to Congress biannually on what nations have "fundamentally misaligned currencies" with the U.S.

If those countries, after having been identified by Treasury, do not address this issue within 90 days, the administration would be required to take action at the International Monetary Fund and end federal procurement from these nations.

After 360 days, the U.S. Trade Representative would be required to request dispute settlement proceedings at the World Trade Organization.

The bill would also make it easier for American firms to request import duties from the Commerce Department.

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