China Ditches US Dollars in New Brazil Agreement, Settles 1st LNG Trade in Yuan

China Ditches US Dollars in New Brazil Agreement, Settles 1st LNG Trade in Yuan
One dollar and 100 yuan notes are on display at a bank on May 15, 2006 in Beijing, China. China's official exchange rate rose today to 7.9982 yuan per U.S. dollar, its highest level since a revaluation in last July, the government said. China Photos/Getty Images
Andrew Moran
Updated:
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China and Brazil signed an agreement on March 29 that would abandon the U.S. dollar and carry out trade and financial transactions directly in yuan for reals—and vice versa—a significant step as China, the world’s second-largest economy, continues to accelerate the currency’s presence in the international market.

Both countries noted that they had reached a preliminary agreement to ditch the dollar in January.

Andrew Moran
Andrew Moran
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Andrew Moran has been writing about business, economics, and finance for more than a decade. He is the author of "The War on Cash."
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