In fact, since September, the appreciation trend of the CNY has appeared, and the breakthrough of the 6.4 is the first time since June this year. Our CNY exchange rate can be divided into two types. The first is the onshore RMB exchange rate, and the second is the offshore RMB exchange rate. Both the onshore CNY and the offshore CNY have experienced different appreciation trends. The appreciation of the CNYi simply means that the CNY has stronger purchasing power compared to other currencies. The appreciation of the CNY we are talking about here is mainly for the US dollar. For example, the recent trend of the CNY against the US dollar has continued to rise.
The appreciation of the CNY is not conducive to the export products of Shenxi Group. If the price of the product (suspended platform, construction hoist, mast climbing work platform, loading platform, material hoist…) remains unchanged in the international market, then the US dollars for the sold products will be reduced if they are converted into CNY in China. However, if the price of the products keeps rising with the CNY, the price of these products’ International competitiveness will be weakened, and sales will often be affected. Conversely, a moderate appreciation of the CNY, to a certain extent, help further optimize and upgrade the domestic industrial structure, forcing enterprises to reform and innovate, improve technological content, and improve innovation capabilities. Those enterprises that have not kept up with the development trend will naturally be eliminated.
To deal with this situation, it is not only the government taking measures, but also the self-help of enterprises. Shenxi must constantly strive to improve our ability to set prices, improve our core competitiveness, and develop products that are not easily replaced, in order to be the leader in high-altitude machinery.