TheImpactandCountermeasuresofRMBAppreciationonExport-BasedEnterprisesinChinaMinYuanSchoolofEconomics,TianjinPolytechnicUniversityTianjin300387,ChinaE-mail:wuna0915.student@sina.comZhuangZhouSchoolofEconomics,TianjinPolytechnicUniversityTianjin300387,ChinaE-mail:zhouzhuang@tjpu.edu.cnAbstractRMBappreciationwillposeachallengetoexport-basedenterprisesinChina,andbringasenseofcrisistothem.Therefore,China'sexportenterprisesshouldtakeactivemeasurestodealwiththeimpactcausedbytheRMBappreciation,sothatexport-orientedenterprisescanbetteradapttothechangesintheglobaleconomy,thusmaterializingtheirsustainableandstabledevelopment.Keywords:RMBappreciation,Export-basedindustries,Prosandcons,CountermeasuresTheappreciationoftheRMBhasbecomemuch-discussedfocusintheinternationaleconomyandsociety.Chinahasbeguntoimplementthemanagedfloatingexchangeratesystembasedonmarketsupplyanddemand,withreferencetoabasketofcurrencies.RMBexchangerateisnolongerpeggedonlytotheU.S.dollar,andinsteadChinahasformulatedamoreflexibleRMBexchangeratemechanism.RMBappreciationwillposeachallengetoexport-basedenterprisesinChina,andbringasenseofcrisistothem.Therefore,China'sexportenterprisesshouldtakeactivemeasurestodealwiththeimpactcausedbytherisingYuan,sothatexport-orientedenterprisescanbetteradapttothechangesintheglobaleconomy,thusmaterializingtheirsustainableandstabledevelopment.InJune,2008,theexchangerateofRMBagainsttheU.S.dollarexceededthe7:1boundary.ThetrendofaYuan’sriseisforeseeable,andintheirreversibleenvironment,wemusttakeappropriatestepstopreventlargefluctuationsinRMBtomitigateitsnegativeimpactontheimportandexporttrade,whileatthesametimemakingfulluseofthesmallriseinyuantopromotetradedevelopment.Yuan’sriseisnotonlyconducivetoadecreaseinimportcostsanddomesticinflation,stimulationtoconsumption,accelerationofstructuraladjustment,promotionofforeigninvestmentandthereductionintradefriction,butintheshorttermwillalsohaveanegativeimpactonexports,influencingforeigninvestmentandemployment.1.MajorindustriesdamagedbyandbenefitingfromYuan’sriseTheimpactofaYuan’sriseonvariouskindsofsectorsvariesaccordingtothedifferentcharacteristicsofindustries.RMBappreciationbringsadvantagestotheindustriesthatneedtoimportrawmaterials,butisnotfavorabletoonesthatareexport-oriented.Italsobringsopportunitiestotheupgradeandoptimizationoftheseindustries,thoughcertainindustrieswillbeadverselyaffectedbyit.ThemainindustriesbenefitingfromYuan’sriseareasfollows:(1)realestateandinfrastructureones,whichbelongtothenon-realestateindustry,withitsdomesticrealestatevaluecomprehensivelyenhancedbyariseinYuan;(2)onessuchinfrastructureindustriesasairports,ports,railways,andhighwayscharacterizedbylimitedresources,monopoly,thelongconstructionperiod,andsmallsupplyelasticity;(3)thefinancialsector,especiallybankingandsecurities,whichisamongcapital-intensiveindustriesdealingwithcurrenciesandcapital.Becauseofgoodliquidity,itiscategorizedintotheindustrywithahighvalueofRMBassets,benefitingfromattractingalargeamountofinternationalcapital;(4)onessuchasaviation,electricity,oilrefining,paper-making,engineeringmachinery,andsoon,whichwillseeareductionincostsowningtoitsmaindependenceonprocurementofforeignrawmaterialsorequipments,orbecauseofthebenefitsresultedfromlargeamountsofexternaldebtserviceandtheexchangegainsandlosses,inparticulartheaviationindustrywiththedominanceofthedom...
