Recent media reports have suggested the US might label China as a currency manipulator, something it has often threatened to do since the early 1990s. But this according to Chinese experts would have little effect as the relationship between the two countries is already strained by the trade war and the imposition of huge tariffs by the US.

The trend of depreciation with the yuan is not as clear as with currencies in various other emerging economies, so the US would not have a strong basis for labeling China as a currency manipulator. The move could be an effort by the US to create an excuse for further actions regarding bilateral trade and investment, experts said.

Also, one key reason driving the depreciation pressure on the yuan is the trade war waged by the US against China, and the US is now complaining about the depreciation, Tan noted.

The IMF, which has applauded China's improved level of market-oriented economic structure, however is not likely to label China as a manipulator.