Over 60% of Taiwanese Enterprises See Trade with China to Grow 5%-plus in Coming Year: HSBC

With renminbi (RMB) settlement services increasingly available worldwide to facilitate global trade with China, Taiwan exceeds Asian nations in optimism about the growth potential in trade and transactions with the country,  confirms the latest survey by Hong Kong-based HSBC Holdings regarding the utilization of cross-border RMB settlement services.

The survey, polling 1,300 enterprises with annual turnover of more US$3 million and businesses with China from 11 countries as Singapore, Australia, Germany, France, the U.K., the U.S., and Canada, shows that of 100 polled Taiwanese companies, 64% are optimistic to see trade with China to increase  at least 5% in the year ahead, the highest  among the other countries.

A sign of Taiwanese enterprises' growing preference to adopt RMB settlement services is that 38% of Taiwanese respondents in the survey have already used the currency to settle cross-border trade, next only to 58% of Hong Kong companies. According to the respondents, lower currency conversion costs and exchange risks, and convenience are the main factors motivating them to use RMB to settle cross-border trade.

Of the Taiwanese respondents who have yet to use RMB for trade settlement, about 60% are considering such service in line with customers' requirement in the next year, being the highest ratio among the 11 countries. (SC)