Meanwhile, the process of “Attracting Foreign Investment, Technology and Management Expertise” and “Going Global” gained momentum, enabling China to play a bigger part in global industrial chain and the international market. Being more responsive to exchange rate movements, large amount of export-oriented enterprises conducted proactive financial management and raised selling prices to cover exchange rate losses.
Improved in quality, China’s foreign trade registered further development. Domestic demand supported by import expansion and lower import cost helped ease inflationary pressures. From June 2005 to June 2008, China’s import volume totaled $ trillion. A total of 1.6497 trillion yuan of import cost was saved as a result of RMB appreciation against the dollar.