Forget the yuan. China has bigger economic problems

http://money.cnn.com/2010/03/22/news/economy/china.tension.fortune/index.htm

There has been much discussion of the April 15 deadline. But Treasury has the flexibility to delay making any sort of recommendation -- and might well do so rather than risk further inflaming relations with China, said Lieberthal.

Ultimately, China is likely to let the yuan float higher because it "makes a lot of sense for them politically," said Lieberthal. "But at the end of the day, it's really a very minor issue."