Why can China help other countries print banknotes?

China is the country with the most comprehensive industrial categories in the world, which gives it significant advantages and competitiveness in the global manufacturing industry.

From a single button to a high - speed train, China exports more and more commodities with increasing technological content.

What is little known is that China also exports a special commodity: banknotes.

As of now, China has printed banknotes on behalf of more than 10 countries.

Why do these countries ask China to print their banknotes?

How did China's banknote - printing technology make a comeback?

01 Printing Banknotes on Behalf

China's banknote - printing services for other countries mainly fall into two categories.

One is aid with a public - welfare nature.

China has provided banknote - printing aid to 9 countries, namely Vietnam, Cuba, Albania, Laos, North Korea, Guinea, Cambodia, Mongolia, and Nepal.

China's first recipient of overseas banknote - printing aid was Vietnam.

As early as 1950, when the Vietnam War of Resistance against France entered a critical stage, Vietnam had neither the ability nor the conditions to print banknotes.

Vietnamese dong printed by China in 1950

China designed and printed the first set of Vietnamese dong, and Chinese characters were printed on these banknotes.

Subsequently, in 1957, 1965, and 1968, China printed three more sets of Vietnamese dong for Vietnam, totaling four sets with 31 denominations.

Early on, Mongolia's banknotes were printed by the Soviet Union, and later by European countries.

China initially minted coins for Mongolia and printed a batch of treasury bonds for it in 1991.

Mongolian treasury bonds printed by China in 1991

The other is commercial cooperation.

After entering the 21st century, with increasingly close foreign trade, China's banknote - printing business has also embarked on a commercial path.

In 2015, the China Banknote Printing and Minting Corporation won the printing orders for 100 - rupee, 1000 - rupee, and 5 - rupee banknotes from Nepal. This was China's first time to obtain an international banknote - printing commercial order through bidding.

China printed 210 million new - version 100 - Nepalese - rupee banknotes for Nepal. Besides improvements in patterns, colors, and anti - counterfeiting features, it also added raised dots for the blind to identify.

100 - Nepalese - rupee banknotes printed by China

This was Nepal's first issuance of banknotes friendly to the blind and was very popular.

In 2017, the China Banknote Printing and Minting Corporation signed a contract with the Central Bank of Nepal and won an order for 260 million 5 - rupee banknotes.

After that, the China Banknote Printing and Minting Corporation successfully bid for currency production projects in many countries such as Thailand, Bangladesh, Sri Lanka, Malaysia, India, Brazil, and Poland.

In 2018, the China Banknote Printing and Minting Corporation successfully bid for a project to produce 220 million 2 - Thai - baht coins.

This 2 - Thai - baht coin is one of the new - version circulating coins issued after King Rama X of Thailand ascended the throne in December 2016. It is also the first time that the portrait of the new Thai king has been minted on a Thai circulating coin.

2 - Thai - baht coins minted by China

In addition to printing banknotes on behalf of other countries, the China Banknote Printing and Minting Corporation also exports raw materials and equipment overseas.

In 2015, the China Banknote Printing and Minting Corporation exported a self - developed large - sheet inspection machine to Thailand, breaking the monopoly of German and Japanese companies on commercial large - sheet inspection machines.

In 2017, the China Banknote Printing and Minting Corporation signed a contract to supply coin blanks to the Polish Mint.

Chinese enterprises are beginning to gain a foothold in the international banknote - printing arena.

02 A Wise Choice

Currency is related to economic development and social stability and is an important part of a country's sovereignty.

Since banknotes are so important, why do these countries ask China to print them?

The answer is simple: they can't print them themselves.

As a little - known fact, there are 200 countries in the world, but only more than 50 have the independent ability to print banknotes.

Printing banknotes is not simply printing a piece of paper but a "national project" full of various cutting - edge technologies, so it is called "the second most confidential thing after the atomic bomb".

Specifically, banknote printing must meet at least three requirements:

First, durability.

In daily life, banknotes are in circulation. They are often squeezed, folded, or even soaked when held in hands or put in bags.

This requires banknotes to be tough, wear - resistant, and corrosion - resistant.

To meet this specific requirement, the materials used for banknotes must be of high quality.

Banknotes are not made of ordinary wood pulp but "cotton pulp" with longer fibers. This kind of paper has very good flexibility. Even after being washed many times, it won't rot or change color and can withstand a certain degree of acid - base corrosion.

After getting the paper, the next step is to print with ink, which is a special type of ink.

Good ink should not only have bright but not overly strong colors but also have high durability and stability.

At the same time, with the use of engraving and printing plates, counter - printing technology, and intaglio connection - printing technology, it ensures clear image levels, bright colors, and effectively prevents ink fading.

Second, anti - counterfeiting.

The anti - counterfeiting of banknotes is all - round. It should be difficult for criminals to counterfeit and easy for citizens to identify during use.

Take the RMB as an example. It uses anti - counterfeiting technologies such as white watermarks, engraved intaglio printing, and optically variable inks.

Anti - counterfeiting technology of the RMB

Take optically variable inks as an example. This kind of ink combines pearlescent and metallic effects, making the printed patterns show different color changes at different angles, and it can't be copied by color copiers or electronic copiers.

Ink may seem insignificant, but it belongs to a technology - intensive industry that requires the comprehensive application of multiple disciplines such as materials science, fluid mechanics, color science, interface science, chemical engineering, and physical chemistry. Most countries do not have the independent R & D ability.

Coupled with paper raw materials, pattern design, and printing equipment, there are even fewer countries that can print banknotes independently.

Third, economy.

Even if some countries can establish an independent production line through imports, they will face a new problem: cost.

Printing banknotes incurs costs and follows the rule that "the larger the quantity, the lower the average cost".

For many small countries, the circulation of banknotes is not large, so it is not cost - effective to spend a lot of money on equipment to print banknotes by themselves.

In addition to cost, sometimes efficiency also needs to be considered.

Take Argentina as an example. Affected by continuous high inflation and severe currency depreciation, the denomination of the banknotes issued has been increasing. In May 2024, it began to issue new - version 10,000 - peso banknotes.

New - version 10,000 - peso banknotes

The first batch of 770 million new - version 10,000 - peso banknotes were printed by the China Banknote Printing and Minting Group Co., Ltd.

Argentina has its own mint. The reason it asks China to print banknotes is that the demand for banknotes is too large, and its own factory can't keep up.

Overall, for many countries, asking other countries to print banknotes on their behalf is a wise choice.

03 Chinese Enterprises Go Global

Although China prints banknotes for more than 10 countries, for a long time before, China's banknotes were also printed by other countries.

Before the founding of New China, most of the banknotes issued by the Republic of China government were printed by the UK and the US on behalf.

For example, the one - yuan banknote printed in 1936 below was printed by Waterlow & Sons Limited in London, and the company's name is also printed at the bottom.

Banknotes issued by the Republic of China

After the founding of New China, everything was in ruins and it was difficult to start. China entrusted the Soviet Union to print 10 - yuan, 5 - yuan, and 3 - yuan banknotes.

RMB printed by the Soviet Union

Later, when the relationship between China and the Soviet Union deteriorated, the Soviet Union withdrew all technical personnel and equipment, forcing China's banknote - printing industry to embark on a path of independent innovation.

Banknote printing and minting are related to the national economy and people's livelihood.

Shouldering a major mission, Chinese researchers overcame numerous difficulties and finally made China's banknote - printing technology rank among the world's best.

Zhengjieju mainly introduces two technologies:

One is intaglio printing technology.

In the banknote - printing industry, there is a saying that "no intaglio, no coin".

Note that on the front of the 100 - yuan banknote of the fifth - series RMB issued in 2015, the portrait of Mao Zedong uses intaglio printing technology.

On the one hand, the thickness of the lines and the shade of the ink in intaglio printing are extremely fine, making it extremely difficult to imitate or counterfeit.

On the other hand, intaglio printing has an obvious embossed feeling, which can be felt by touching with fingers, making it easy to identify.

China independently developed the world's first intaglio counter - printing machine, which can perform intaglio printing on both sides simultaneously, greatly improving production efficiency and solving a worldwide problem.

The "SD Intaglio Counter - Printing" team also won the first - class award for National Technological Invention in 2010.

The other is security thread technology.

On the 50 - yuan banknote of the fifth - series RMB issued in 2019, there is a security thread on the right side of the front of the note.

When you change the viewing angle of the banknote, the color of the security thread changes between red and green, and the bright band rolls up and down. When viewed through the light, "¥50" can be seen.

This security thread not only has an aesthetic effect but is also an important anti - counterfeiting measure with high technological content.

In the early years, security threads could only be imported. After years of research and development, China has achieved the localization of security threads and overtaken other countries in core technologies.

RMB with a security thread

Now, the China Banknote Printing and Minting Corporation has grown into the world's largest banknote - printing and minting enterprise.

Compared with established banknote - printing and minting giants such as Germany's G & D, the UK's De La Rue, and France's Oberthur, although the China Banknote Printing and Minting Corporation has a relatively shorter operating history and a less extensive sales network, it has sufficient production capacity, stable supply, and offers high - quality products at reasonable prices.

Compared with European and American enterprises, China's banknote - printing cost can be 30% to 50% lower, which is particularly