Corporate foreign exchange news

Manufacturers extol sterling weakness as international payments roll in

Friday, 05 March 2010 10:01:35 GMT

Published by Jamie Jemmeson
Britain's decision not to join the euro has been a blessing for manufacturers operating in the country, the chairman of leading construction equipment manufacturer Komatsu ahs stated.
Speaking to the Telegraph, Masahiro Sakane said that while many international firms had been keen to see the UK join the euro, the 25 per cent depreciation of sterling seen in the past two years has been a boon to the export market.
"Although the market in the UK is shrinking, the machines we produce in the UK are shipped and exported to Europe. The weaker sterling is, the more that will help, particularly within Europe," he said.
With international payments continuing to roll in, the Japanese manufacturer is continuing to make ground on Caterpillar, the leading player in the global construction equipment industry.
In an article earlier this week, the Telegraph also encouraged foreign exchange traders to remain calm about the run on the pound seen in recent months, viewing it as a revaluation rather than a rout.
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