In 2015, China ranked as the world’s largest exporter of manufactured goods and was also a major importer of oil and minerals. China then devalued the yuan (renminbi) by $2\%$. According to economic theory, what would be a consequence of this devaluation?
- AChina paid less in foreign currencies for imports.
- BChina reduced its demand for oil and minerals.
- CChina’s exports became less competitive.
- DChina’s trading partners improved their balance of trade with China.