China Yuan Strength Squeezes Exporter Margins
Chinas rising currency is squeezing profit margins for domestic exporters already struggling with soft local demand. Policymakers are considering incremental steps to slow the appreciation without risking further trade friction.
Xurve View
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Xurve View
China faces a mounting policy dilemma as the yuan's 5% rise against the USD/CNH this year squeezes exporter margins. Policymakers are balancing trade friction with western partners against domestic job security and soft domestic demand.
