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The Impact of RMB-USD Exchange Rates on Businesses: Analyzing the Latest Observations

Updated: Jul 2, 2023

Recent reports have highlighted the ongoing depreciation of the Chinese yuan (RMB) against the US dollar (USD). With the exchange rates falling below the critical threshold of "7" since mid-last month, the RMB continues to weaken, reaching levels below 7.12 and 7.13 against the USD for onshore and offshore rates respectively on June 5th. This downward trend in the RMB-USD exchange rates carries significant implications for international trade and has far-reaching consequences for businesses. In this blog, we will explore several potential implications resulting from the depreciation of the RMB against the USD.

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