Choosing the right currency for international payments: USD, EUR, or CNY?

When making international payments, the choice of currency can significantly impact the total cost, speed of settlement, and the relationship with your partners or suppliers. USD (United States Dollar), EUR (Euro), and CNY (Chinese Yuan) are the most commonly used currencies in global trade, and each has its own strengths and limitations depending on where your counterpart is based. Selecting the right one isn’t just about convenience—it’s a strategic decision that can affect exchange rates, fees, and regulatory compliance. In this article, we’ll break down how to choose the best currency for your cross-border transactions and explain how CrossGlobePay can help you make the smartest choice for every payment.

USD: the global trade standard

The US dollar remains the dominant currency for international business. It's widely accepted, stable, and often the default currency for transactions even between non-US entities. This is especially true in industries like commodities, electronics, and large-scale manufacturing. If you're paying suppliers in China or receiving funds from customers in Europe, there's a high chance the invoice will be in USD.

Paying in USD is straightforward and convenient for many international partners. However, this convenience comes at a cost. Banks often apply a markup on currency exchange rates, and international wire transfers in USD—especially outside the US—can involve intermediary banks that charge extra fees. Furthermore, in countries like China, receiving USD can trigger additional regulatory steps or longer processing times as the funds are converted locally.

EUR: the best choice for European transactions

If you are doing business with European companies or operating within the EU, using the euro can save time and reduce fees. The Single Euro Payments Area (SEPA) system allows quick and inexpensive euro-denominated transfers across participating countries. These transactions are treated almost like domestic transfers and can often be completed on the same day.

However, sending EUR outside Europe—particularly to countries like China—can be less efficient. Many Chinese suppliers may not accept EUR at all, preferring USD or local currency. Additionally, currency conversion from EUR to CNY can lead to double exchange processes if routed through USD as an intermediary, increasing overall costs and settlement time.

CNY: beneficial for working directly with China

Paying in Chinese yuan (CNY or RMB) is increasingly popular among businesses that have long-term partnerships with suppliers or clients in China. For Chinese recipients, receiving funds in local currency is faster, requires less regulatory scrutiny, and eliminates conversion fees on their end. It also allows for smoother accounting and greater trust in the transaction.

However, sending CNY from the US or Europe can be challenging. China has capital controls in place that restrict how foreign currencies are converted and transferred into the country. Many foreign businesses cannot send CNY directly from their local banks. That’s why using a payment platform that supports local settlement in China—like CrossGlobePay—can offer a real advantage. It allows you to send funds in your preferred currency (USD or EUR), which are then locally converted and delivered in CNY to your supplier or partner. This process is faster, more predictable, and often more cost-effective.

Key factors when choosing a currency

1. Recipient preference
   Always ask your counterparty which currency they prefer. Some suppliers offer discounts for payments in local currency due to reduced banking costs on their side.
    

2. Exchange rate fluctuations
   If the currency you're using is volatile, it may lead to unexpected losses. Locking in a rate or using multi-currency accounts can help stabilize your finances.
    

3. Banking fees and conversion costs
   Currency conversion through traditional banks can add up quickly. Even a small percentage spread on large transactions can mean significant losses.
    

4. Regulatory requirements
   Some countries, especially China, have strict rules around accepting foreign currency. Using the right currency can speed up compliance checks and avoid delays.
    

Why CrossGlobePay is the smart solution

Navigating these currency decisions can be complex, especially when dealing with high volumes, multiple partners, or tight deadlines. This is where CrossGlobePay comes in. It’s a global payment platform designed to simplify cross-border transfers and give you full control over currency choice, timing, and fees.

CrossGlobePay supports payments in USD, EUR, and CNY—and allows you to manage everything through a single account. The platform provides real-time currency rates, low conversion fees, and smart routing to ensure your payment reaches the recipient in the most efficient way possible. Whether you want to pay in local currency to avoid delays, or use USD to keep pricing simple, CrossGlobePay offers the flexibility and tools to help you make the right call.

Moreover, the platform ensures compliance with international regulations and handles the paperwork behind the scenes. This means fewer headaches for your accounting team and greater confidence that your payments will go through without error or delay.

Conclusion

Choosing the right currency for international payments is not just a financial decision—it’s a strategic one. USD is widely accepted but can be costly; EUR is great within Europe but less useful elsewhere; and CNY offers benefits when working directly with Chinese partners but can be difficult to manage without the right infrastructure. With CrossGlobePay, you get a powerful solution that adapts to your business needs, saves money, and reduces risk across every transaction.