Multiple factors resonate, driving the RMB exchange rate to reach a new high.

On December 16th, the exchange rate of the Renminbi against the US dollar continued to rise sharply. The onshore Renminbi exchange rate against the US dollar approached the 7.04 yuan mark, while the offshore Renminbi exchange rate against the US dollar broke through the 7.04 yuan mark, both reaching new highs in 14 months. Experts say that recently, due to the overall weakness of the US dollar in the external environment, the good performance of the domestic equity market attracting foreign capital inflows, and other factors, the Renminbi exchange rate against the US dollar has shown a stable and rising trend. Looking ahead, in the short term, the Renminbi exchange rate against the US dollar will continue to be strong, and is expected to maintain a mild appreciation in 2026.