China’s $1 Trillion Trade Surplus Sparks Call for Yuan-Based Import Strategy
Liu Shijin, former PBOC adviser and current China Development Research Foundation vice chair, advocates a seismic shift in trade policy. With China's 2024 trade surplus nearing $1 trillion, he proposes aggressive import expansion settled in yuan to rebalance trade flows and boost the currency's global liquidity.
'Payments in yuan for $1 trillion in additional imports WOULD transform offshore yuan markets,' Liu stated during a recent address. The strategy aligns with Beijing's long-term goal of internationalizing the yuan while addressing trade imbalances.