Agence France-Presse and other foreign media reported on the 30th that the Brazilian government announced on the 29th local time that Brazil has reached an agreement with China to no longer use US dollar as an intermediate currency, but to conduct trade in its own currency.

Reported that the agreement allows China and Brazil (Latin America's largest economy) to conduct large-scale trade and financial transactions directly, using the renminbi to exchange the real, and vice versa, instead of US dollar.

"This is expected to reduce costs while promoting greater bilateral trade and facilitating investment," the Brazilian Trade and Investment Promotion Agency (ApexBrasil) said in a statement.

RMB Internationalization Is Powerful

With the continuous growth of China`s economy and the development of globalization, RMB internationalization has became the hot topic of global concern. RMB internationalization will strengthen China`s discourse power and influence in the international economic arena, promote the balance and stability of international economy and trade, and provide the convenient financial support for Chinese domestic enterprises.

Brazil announced that using yuan clearing directly in bilateral trade with China, which provides more convenient and stable basis and guarantee for economic and trade cooperation between China and Brazil. As an enterprise with nearly 40 years of experience in monofilament production, Tai Hing is committed to expanding the international market. Deeply aware of the positive impact of local currency settlement on customer development, Tai Hing will actively response to the policy changes and continuously provide more convenient, effective and safe service for customers. Currently, customers in Russia, Malaysia and other countries have already conducted RMB settlement transactions with Tai Hing.

Meaning of Local Currency Settlement

Firstly, using local currency settlement can reduce the cost and risk of customers, and save the cost of exchange fees and intermediate bank fees. Therefore, that settlement can help customers reduce the transaction cost and capital occupational cost with Tai Hing. Meanwhile, using local currency settlement can avoid the uncertainty and loss caused by exchange rate fluctuation.

Secondly, local currency settlement can speed up the good settlement, simplify the trade settlement procedures and improve the trade convenience.

More importantly, the use of local currency settlement can enhance the cooperation and trust between customers and Tai Hing, which provides a more stable basis and guarantee for further expansion of cooperation between two sides.

Transaction with customers: providing multiple currency options and achieving safe convenient transactions

As an enterprise with rich experience in international trade and excellent service team, Tai Hing always actively response to the market changes, optimize the service system, and provide efficient and professional local currency settlement service.

Flexibility: Tai Hing provides customers with multiple currency transaction options, including RMB, USD, EUR and HKD etc., to satisfy different requirements of customers. Besides, Tai Hing also customize multiple currency transaction solutions for customers based on their requirements.

Professional service: Tai Hing has experienced international trade team and professional financial team to provide customers with professional consultation service and advice.

Transactions with Suppliers

(1) Multi-currency purchase of raw materials for the best interests of customers

Tai Hing has been searching for the raw material with the best price around the world to increase the purchasing efficiency and reduce the purchasing cost. Through the multi-currency procurement, Tai Hing will take advantage of exchange rate fluctuations to obtain more favourable prices, while also reducing the currency exchange rate risk and supply risk.

Compared to the single-currency procurement, multi-currency procurement largely reduces the purchasing cost. When purchasing raw materials around the world, Tai Hing gets the most favorable price of raw materials by comparing different currency exchange rates and prices in various countries, which ensures the same quantity and quality of raw materials while saving the production cost. Tai Hing always strive for the competitive price and higher quality products.

(2) Global Supply Chain Choices

Tai Hing has the right to import and export goods for nearly 40 years, realizing the global free sale.

When the price of foreign raw materials is more favorable than that of the domestic raw materials, Tai Hing will import the foreign raw materials after tax calculation and transfer the raw materials to domestic production and sales. When the price of domestic raw materials is more favorable than that of foreign raw materials, Tai Hing will purchase the domestic raw material for general trade export sales.

Sourcing raw materials globally provides Tai Hing filament products with much advantages of offering multiple choices, reducing cost and risk, improving product quality and reducing the dependence on a single supplier.

About US

Originated in 1985, Tai Hing is one of the largest monofilament manufacturers in China, specializing in providing various high quality monofilament products, such as PA6/66/612 Nylon Filament, PP, PET, PBT Tapered Filament etc. With the factory area of more 20,000 square meter, Tai Hing has 25 modern monofilament production lines and more than 400 tons monthly production capacity.

With its products spanning across 12 industries and cooperating with over 35 countries as well as thousands of well-known international brands, Tai Hing pledges its commitment to a continued refinement in its craftsmanship. Succeed in becoming the epitome of exquisite quality and craftsmanship, the Group is recognized by ISO9001, ISO14001 and ISO45001. All filament products are certificated by RoHs, PAHs and REACH etc. Besides, innovative patent testing method for filament smoothness and dryness achieves the excellent filament tufting effect.

As a professional monofilament manufacturer, Tai Hing adheres to the sustainable development value, keens on customized needs and continues to develop environmental and high quality product and technology, promoting the reform in brush industry.