Yuan-based Settlements
Samsung Electronics will use the yuan for trade settlement purposes from March 16.
At present, Samsung Electronics is running semiconductor manufacturing facilities in Xi’an, consumer electronics manufacturing in Suzhou, and mobile phone facilities in Guangdong Province.
Until now, the company has mainly used the U.S. dollar even in transactions with China, which has led to a large amount of fees.
Won-yuan direct trading has been available in Korea since November last year. The government has promoted yuan-based settlement for the competitiveness of the financial sector, too.
Not only Samsung Electronics but also POSCO are looking to increase the ratio of yuan-based settlement in response.