"It means the PBOC is intervening as the yuan's appreciation is too fast," said Yuan Tao, an analyst at Orient Futures. But he said the measure will only slow the yuan's appreciation, expecting the dollar to remain weak. "It is clear that PBOC wants the yuan appreciation pace to slow." Highlighting the urgency for Chinese companies to embrace forex hedging, a growing number of listed companies say the stronger yuan is hurting their profits. Robot maker Ninebot, Shenzhen Hello Tech Energy Co and Shenzhen Hui chuang Da Technology also disclosed negative impacts from yuan appreciation.

Source: The Star February 27, 2026 19:10 UTC