# Chinese yuan to hit record lows as U.S. tariff threat mounts, investment banks forecast

> Major investment banks project the offshore yuan to weaken to an average of 7.51 per dollar through end-2025, which would be the currency's weakest level on record. The forecasts reflect expectations that Trump will follow through on tariff threats against China. Authorities face a trade-off between limiting yuan losses and supporting growth.

- Date: 2024-11-28 · published 2024-11-28T12:00:00.000Z
- Category: macro · region China · magnitude medium
- Page: https://feedsoft.ai/events/27630-chinese-yuan-to-hit-record-lows-as-u-s-tariff-threat-mounts-investment-banks
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md), [Soybeans](https://feedsoft.ai/c/SOY.md), [Corn](https://feedsoft.ai/c/CORN.md)

## Why it matters

Forecast yuan weakness raises China's import costs and signals expected tariff pressure on Chinese demand for US farm goods. Bearish sentiment for US feed exports is likely to persist while the tariff outlook remains unresolved.

## Read by commodity

- SOY: bearish ▼
- CORN: bearish ▼
- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2024-11-12 | [Global investment banks rush to trim yuan forecasts under looming Trump tariff threats](https://feedsoft.ai/events/6700-global-investment-banks-rush-to-trim-yuan-forecasts-under-looming-trump-tariff.md) | +0.8% | +1.0% |
| USDCNY | 2024-11-12 | [China’s yuan weakens to 3-1/2-month low as Trump tariff threat weighs - Markets - Business Recorder](https://feedsoft.ai/events/6701-china-s-yuan-weakens-to-3-1-2-month-low-as-trump-tariff-threat-weighs-markets.md) | +0.8% | +1.0% |
| USDCNY | 2024-12-03 | [China’s yuan hits lowest level in months as Trump tariff threats roil currencies \| South China Morning Post](https://feedsoft.ai/events/27171-china-s-yuan-hits-lowest-level-in-months-as-trump-tariff-threats-roil.md) | -0.2% | +0.4% |
| USDCNY | 2016-11-16 | [China’s Yuan Tumbles to Eight-Year Low as Banks Weaken Forecasts - Bloomberg](https://feedsoft.ai/events/7741-china-s-yuan-tumbles-to-eight-year-low-as-banks-weaken-forecasts-bloomberg.md) | +0.5% | +0.7% |
| USDCNY | 2022-09-28 | [Chinese yuan: Currency hits record lows against US dollar - BBC News](https://feedsoft.ai/events/7208-chinese-yuan-currency-hits-record-lows-against-us-dollar-bbc-news.md) | -0.9% | -0.1% |
| SOY | 2024-11-12 | [Global investment banks rush to trim yuan forecasts under looming Trump tariff threats](https://feedsoft.ai/events/6700-global-investment-banks-rush-to-trim-yuan-forecasts-under-looming-trump-tariff.md) | -0.2% | -1.7% |
| SOY | 2024-11-12 | [China’s yuan weakens to 3-1/2-month low as Trump tariff threat weighs - Markets - Business Recorder](https://feedsoft.ai/events/6701-china-s-yuan-weakens-to-3-1-2-month-low-as-trump-tariff-threat-weighs-markets.md) | -0.2% | -1.7% |
| SOY | 2024-12-03 | [China’s yuan hits lowest level in months as Trump tariff threats roil currencies \| South China Morning Post](https://feedsoft.ai/events/27171-china-s-yuan-hits-lowest-level-in-months-as-trump-tariff-threats-roil.md) | +0.5% | +1.3% |

## Sources

- cnbc.com: https://www.cnbc.com/2024/11/28/chinas-yuan-to-hit-record-lows-as-us-tariff-threat-mounts-investment-banks-forecast-.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.