Central parity rate of the Chinese currency, the Renminbi, to the US dollar has reached 7.25 to one, which makes the value of Yuan increased over 10 percent all together after China's exchange rate mechanism reform in 2005.
Many experts say the value of the RMB will remain rising.
Zhong Wei is the director of Financial Research Center of Beijing Normal University.
"The main reason is that the trade surplus remains high. And the surplus of capital account is also high. These lead to Renminbi's appreciation to major currencies around the world."
Zhong wei says, after the appreciation of the RMB, people will enjoy lower prices when purchasing import goods. But he also says the price of luxuries will not see a fast decrease.
"The import luxurious goods and cars' prices depend not only on the import cost, but also a series of factors including tariff, and sales channel. So we can not expect a price plummet on these import items."
China's central bank announced a half percent hike in bank reserve ratio Wednesday. Analysts say this will ease the pressure of Renminbi's appreciation.
