The Relationship Between RMB Internationalization and Sino-US Trade

Abstract

As China is the largest exporting economy, the rapid internationalization of RMB does impact on the trade structures of many countries. As the United States is China’s most significant trading partner, the factors influencing Sino-US trade cannot be neglected. As a result, in order to widen the study findings in the field of RMB internationalization, this article applies multiple regression analysis to completely evaluate the influence of RMB internationalization on Sino-US trade. The paper demonstrates that RMB internationalization increases both Chinese imports and Chinese exports to the United States, but has a greater impact on exports than imports. Our preliminary results make favorable recommendations for achieving RMB internationalization and benign interactions in Sino-US trade.