The advantages and disadvantages of RMB appreciation are as follows:

Positive effects:

1. It is beneficial to China's imports.

2. The cost of raw material import-dependent manufacturers has decreased.

3. The ability of domestic enterprises to invest abroad has been enhanced.

4. The profits of foreign-invested enterprises in China have increased.

5. It is beneficial for talents to study and train abroad.

6. The pressure of servicing the foreign debt is reduced.

7. It is more cost-effective to sell assets in China.

8. The international status of China's GDP has improved.

9. Increase the national tax revenue.

1. The international purchasing power of China people has increased.

Negative effects:

1. The RMB is not freely convertible under the capital account, which means that the mechanism for determining the exchange rate is not the market, and the change is meaningless.

2. The appreciation of RMB will bring greater pressure to deflation in China.

3. The appreciation of RMB exchange rate will lead to a decline in the attractiveness of foreign investment and reduce foreign direct investment in China.

4. It has caused great harm to China's foreign trade export.

5. The appreciation of RMB exchange rate will reduce the profit rate of China enterprises and increase the employment pressure.

6. The fiscal deficit will increase due to the appreciation of RMB exchange rate, which will also affect the stability of monetary policy.