Almost almost every other major German companies already in the Chinese currency, the Renminbi. However, it has doubled the number of those who reject the “political reasons,”.
In the past year, one in twenty had been given by Commerzbank to the surveyed companies, “to want, for political reasons,” not in the Chinese currency, the Renminbi invoicing. This year there are more than twice as many: eleven sick of it before that, five per cent. Renminbi (English: people’s currency) is the official Name of the Chinese currency, the better-known name of Yuan, the unit is.
On the other hand, 46 percent of large companies already (which are in the survey, companies with an annual turnover of more than EUR 250 million) today “Chinese invoices”. In the coming year, two out of three German companies could issue invoices in Renminbi (67 percent). In the case of medium-sized companies with an annual turnover of between 2.5 and 12.5 million euros, only nine per cent have converted the invoice (billing).
This was the result of a study conducted by the market research Institute Forsa on behalf of Commerzbank. More than 3900 companies have been questioned the Bank’s customers with business in Asia, in Europe, in addition, the Bank surveyed 100 Chinese companies with international business. This collection was presented today in Frankfurt at a press interview.
Companies are politically sensitive
The study comes to the conclusion that the Renminbi for corporate clients, Commerzbank is becoming more and more important. The collection contains but in addition to “positive affirmations”, more or less, surprising insights: The companies were, in fact, significantly to the current geopolitical situation and responded, as the authors of the study, already.
In particular, solutions in the field of risk management is becoming increasingly important. Asked about the benefits of invoicing in Renminbi, 73 percent of all the customers for the first time, the “hedge the foreign currency risk” as the main driver in the previous year it was 60 percent. As a further main reasons for this are advantages in price negotiations”,” advantages in the market development in the Chinese mainland “as well as” preferences of Chinese trade are called “partners”.
The political context influenced the trade with China
The “Small” feel safer
The main barriers for the conversion are according to the survey, “established procedure” and the “preference of the trading partner for the Euro or US Dollar”. Due to the rigid capital outflow restrictions eleven percent of the customers complain about “lack of confidence in the sustainability of the currency”, roughly equivalent to that of the previous year’s level.
Two-thirds of the companies in Europe have responded to feel that there is so far no or only small effects of the current geopolitical situation, a third, however, noticeably affected.
“Interesting for us”, said Michael Rugilo Asia expert at Commerzbank, “that 44 percent of the companies think that with an annual turnover of more than EUR 250 million disproportionately affected. In contrast, only 15 percent of the smaller corporate customers with a turnover between 2.5 and 12.5 million euros in the changed world economic conditions in your business.”
Above all the geopolitical uncertainty hovers
In the survey of Chinese companies with business ties to Europe and a similar picture: 29 percent of the Chinese companies obtained customers of Commerzbank took advantage of the currency already, four per cent were planning the changeover within a year, 67 percent planned no change.
58 percent of customers in China to receive the pulse to transition from abroad. The currency hedging of the games, the survey, with 19 per cent a lesser role. As Impediments to 53 percent would be called the “trading partner, and its preference”, but also “established practices”.
Barbara Herbert, Renminbi expert at Commerzbank, summarises the survey results: “While the Tenor of the last year’s survey was the hope of a return to the course of Liberalisation of the Chinese currency, the corporate customers are now reinforced with the impact of the changed geopolitical situation on its business in China.”