If countries start trading oil in the yuan, yuan would appreciate against other currencies. On paper it would appear as a boost to Chinese gdp in dollar terms but make Chinese exports more expensive than now.

    While Chinese high end products are catching up in terms of tech and quality with Western products, a cheaper price tag is still a major selling point for Chinese brands when it comes to electronics, automobiles and machineries. If they start becoming expensive, Chinese brands would lose their export edge.

    So yeah, can China actually afford a petro-yuan?

    Can China afford to a petro-yuan similar to a petro-dollar?
    byu/Old_Leshen inAskEconomics



    Posted by Old_Leshen

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