Yuan exceeds dollar in China's bilateral trade for first time

April-June figure driven by capital market liberalization and Russian trade

The yuan was used in 49% of China's cross-border transactions made by companies and institutional investors in the April-June quarter, topping the dollar's share for the first time. © Reuters

NORIYUKI DOI and SAKI AKITA, Nikkei staff writers

July 24, 2023 21:04 JST

Updated on July 25, 2023 01:24 JST

SHANGHAI/TOKYO -- The yuan was used in 49% of China's cross-border transactions last quarter, topping the dollar for the first time, a Nikkei analysis shows, mainly due to a more open capital market and more yuan-based trade with Russia.

Nikkei looked at international trade by companies, individuals and investors based on currency, using statistical data from the State Administration of Foreign Exchange of China. Nikkei's compilation does not include yuan-based settlements for trades and capital transactions that do not involve China as a counterparty.