Canada settles first trade deal in yuan

Image via WikipediaHSBC Bank Canada said Wednesday it has completed the first Canadian trade using the yuan exclusively, as the Chinese currency continues to gain traction as an international reserve alongside the U.S. dollar. The deal was conducted for B.C.-based industrial auctioneer Maynards Industries.

Fabrice de Dongo, a spokesman for HSBC Canada, said HSBC made a direct payment in the yuan currency on behalf of Maynards to a company in China. Previously, the payment would have had to be converted into U.S. dollars first.

The ability of Canadian businesses to now conduct trade using the yuan will open up many opportunities in China, said Mark Watkinson, an executive vice-president with HSBC Canada, said. Read more...