After Brazil in March, Argentina will pay for its Chinese imports in yuan. Buenos Aires therefore makes infidelities to the dollar in favor of the Chinese currency.
The activation of a monetary exchange mechanism, which Beijing and Buenos Aires already had, should also relieve some of the pressure on the Latin American country's foreign exchange reserves.Import purchases in yuan are announced at a time when the peso is crumbling dramatically against the dollar. Due to runaway inflation, the greenback acts as a safe haven for Argentines.