Devaluation of the currency, name the local companies in China that benefited from devaluation of the currency, Renminbi ,,please also explain how this companies were advantaged name the specific companies.

Devaluation of currency results in an upsurge in exports and a reduction in imports which aids the balance of trade. The upsurge in exports increases the economy by providing demand for the supply of goods and services.

When there is a devaluation of the Renminbi, there will be an increase in exports, this is because the exports will become cheap, and industries that will be producing domestically using raw materials froms local area will tend to incur high profits.

Reduced competition, Imports becomes expensive, the domestic industry in China will benefit from the devaluation of the Renminbi, this is because the imports will be expensive this will reduce the competition for the goods that are produced domestically.

Disadvantaged industry-foreign industry in chinathe oil industry

Expensive imports -due to the devaluation of the renminbi, the company will incur high expenses as its purchasing power will be tampered with due to the devaluation of the currency which increases the importing cost of raw materials from a foreign company.

Demand-pull inflation-this will due to an increase in inflation due to expensive imports and the aggregate demand hence affects importers.