The Chinese yuan tumbled 3.8% after Chinese officials announced they were devaluing their currency on August 12, and further drops are expected. But for Chinese exporters, including those dealing in construction equipment, these currency shifts may help them compete on price in the global market.
"It is true that a weaker currency could drive Chinese exports higher," concedes Benjamin Duyck, director of market intelligence at the Association of Equipment Manufacturers. Meanwhile, U.S. equipment exporters are struggling to raise exports at a time when the dollar is relatively strong.