Recent analyses highlight the real risk of a renminbi devaluation amid China's economic strategies. The country's real effective exchange rate has reverted to its 2014 level, undoing a decade of steady currency appreciation. This shift is seen as an attempt by China to boost exports and manage economic challenges, including deflation risks. Experts like George Magnus from the Financial Times argue that if China continues to prioritize monetary easing over fiscal support, this could worsen its financial imbalances and exacerbate issues like overproduction. The potential devaluation of the renminbi is viewed as a significant economic maneuver that could impact global currency dynamics, including the status of the US dollar. Additionally, the 2016 Shanghai Accord has been disrupted, and there is building momentum for a fall in the Chinese Yuan.