China's goal of establishing a strong currency is being challenged by the potential re-election of Donald Trump.
President Xi Jinping wants the yuan to play a larger role in global trade, but experts warn that the currency could face downward pressure if Trump serves a second term.
Concerns about a renewed trade war are already impacting market sentiment, leading to increased bets against the yuan. Projections suggest that the currency could reach a 17-year low against the dollar by 2025, with some analysts predicting a decline of around 10%. This situation highlights the complexities of China's economic strategy in light of changing political dynamics in the United States.