4/17/2025–|Last update: 4/17/202505:52 PM (Mecca time)
The Chinese People’s Bank (the Central Bank) announced yesterday, Wednesday, that China recorded a leap in the transactions in the Chinese currency of the yuan (or renalibi) with Cambodia and Malaysia in the first quarter of 2025, according to the official Chinese news agency “Xinhua”. This comes at a time when Beijing is seeking to penetrate the historical domination of the dollar on international trade.
During this period, the value of transactions in the yuan between China and Cambodia reached 5 billion yuan (693 million dollars), an increase of 45% on an annual basis.
From this total, the value of transactions in the yuan for commodity trade amounted to 1.3 billion yuan ($ 180 million), an increase of 23% on an annual basis.
Meanwhile, the value of transactions in the yuan between China and Malaysia during the first quarter of this year reached 102 billion yuan (14 billion dollars), an increase of 27% compared to the same period last year.
The Chinese Central Bank said that China will continue to improve its policies to provide an easier and convenient environment for commercial entities in China, Cambodia and Malaysia to use Ranebi in cross -border commercial and investment settlements.
Asian tour
The Chinese Central Central announcement comes while Chinese President Xi Jinping is carrying out an Asian tour that included Vietnam and Malaysia, and today he arrived in the Cambodian capital, Bennah, at his last station, at a time when Beijing is seeking to enhance regional trade relations and overcome the implications of the exorbitant customs duties imposed by US President Donald Trump.
China is the largest commercial partner of Cambodia and an exporter for investments, and more than a third of the foreign debt of Cambodia, which is $ 11 billion, is entitled to China, according to the World Monetary Fund.
Commenting on the visit of his country’s Chinese President, the Cummodi Prime Minister Hun Manit said that the two countries are associated with “common interests based on the principles of respect for sovereignty, equality and non -interference in internal affairs.” He added that China played a “pivotal role” in the economic social development of Cambodia.
Earlier this month, Trump announced the imposition of 49% fees on Cambodia, which is the highest that he imposed on imports to his country. Then the increase was suspended for some countries for a period of 90 days and kept on the basic comprehensive tariff that it imposed, which is 10%.
Trump excluded China from the suspension of the drawings for 90 days, and Washington announced the imposition of fees of up to 145 % on Chinese goods. Beijing considered the drawings “a farce” and imposed 125% in return on American goods.
During his visit to Malaysia, the Chinese leader told Malaysian Prime Minister Anwar Ibrahim on Wednesday that China would be a cooperative partner and will stand with its neighbors in Southeast Asia in the wake of global economic shocks.
“In the face of the shocks to which the global system and economic globalization are exposed, China and Malaysia will stand with the countries of the region to combat geopolitical currents,” Xi said, in statements made during a dinner with the Malaysian Prime Minister.
He added: “We will protect together the bright horizons for our Asian family.”
Opportunities for the yuan
China has an economic force that makes it the second largest global economy, as 18% of global output, and imports 40% of global oil, which gives it an influence in negotiations for pricing goods with yuan.
The geopolitical alliances expand the scope of the use of the yuan, as China raised its share in the “ASEAN” trade to 21.3%.
Through initiatives such as Brex and “Belt and Road”, Saudi Arabia has completed $ 18 billion in digital oil deals in 2024, according to the data of the Chinese Oil Council.
According to the International Finance Institute “IIF”, 60% of the China -Russian trade exchange in 2024 was equal to the yuan.
