With the continuous development of cross-border e-commerce in my country, the depreciation of the RMB has gradually become a focus of attention. The depreciation of the RMB is caused by the combined effect of multiple factors, and its impact is also two-sided. Especially for cross-border e-commerce, it provides both opportunities and challenges. So, what impact does the depreciation of the RMB have on the import and export of cross-border e-commerce?
For export products, the depreciation of the RMB will promote the increase in export volume, and a relatively considerable profit can be obtained during this period. In addition, for the same export value, the “RMB” earned is increased. Because the settlement currency used for exports is generally foreign currency, under the influence of the depreciation of the RMB, more RMB can be exchanged to obtain additional profits.
Compared to exports, the depreciation of the RMB will increase the cost of imported products and raw materials. The depreciation of the RMB will reduce the amount of foreign currency exchanged, and the goods and raw materials purchased will be less. As a result, the cost of imported products will increase, the competitiveness of imported products will decrease, the profits will decrease, and to a certain extent, the competitiveness of its products will also decrease in China, so the depreciation of the RMB is not conducive to imports.
In fact, the depreciation of the RMB may occur at any time period. Its impact on cross-border e-commerce has both advantages and disadvantages, both positive and negative, so how to quickly respond during the depreciation of the RMB has become an indispensable step.
1) Choose a flexible cross-border settlement method to reduce exchange rate risks. For example, in response to the development trend of RMB depreciation, foreign trade companies can choose the “locked exchange rate” cross-border settlement method, that is, lock a fixed exchange rate for future settlements based on current expectations to reduce losses caused by RMB depreciation.
2) Further improve product quality and increase product added value. Product quality has a far-reaching impact on the export of products, so export products must increase technological investment, continuously increase product quality, increase added value, and reduce dependence on imported raw materials to reduce costs, thereby reducing the impact of RMB depreciation.
3) For large e-commerce platforms, transforming the structure of financial assets and reducing serious outward capital are becoming an indispensable measure.