China bought US Treasury bonds, so he paid back the money in US dollars. But such a huge amount of dollars will be converted into RMB at the exchange rate at that time, so it is converted into RMB. Of course, China may not directly exchange money, and may directly use US Treasury bills as hard currency to buy American enterprises or other hard assets.
3. The impact of RMB appreciation on China's foreign exchange depends on the extent of appreciation. Hard to quantify, huh?
4. Of course, the effect of RMB internationalization is positive. A country's currency can be used as an international currency, which is the greatest affirmation of a country's financial strength. But first of all, you have to find out, can China's RMB be internationalized? I think it will be difficult for at least 50 years.
To tell you the truth, I also work hard at typing. ...