Catenaa, Thursday, April 10, 2025- Chinese yuan fell to its lowest value in 17 years against the US dollar on Thursday, with China’s central bank cutting its daily reference rate for the sixth straight session.
The yuan slipped to 7.354 per dollar in early trade—its lowest since 26 December 2007, It has lost about 1.2% so far this month as People’s Bank of China(PBOC) set the midpoint at 7.209—its weakest since 11 September 2023—versus a Reuters estimate of 7.348.
The PBOC has been guiding the currency lower in gradual steps, a move traders say contributed to the day’s slide.
While the bank allowed the yuan to breach the 7.2 mark this week, its reference rates remain stronger than market projections—signalling efforts to maintain stability.
US President Donald Trump hiked the tariff on Chinese imports to 125% from the 104% level that kicked in on Wednesday.
China continues to take firm and resolute measures to safeguard our legitimate rights and interests,” Chinese Foreign Ministry spokesperson Lin Jian said. “We will not tolerate any attempt to harm China’s sovereignty, security and development interests.”
Beijing may again respond in kind after slapping 84% tariffs on US imports on Wednesday to match Trump’s earlier tariff salvo. It has repeatedly vowed to “fight to the end” in the escalating trade war between the world’s top two economies.
