China's State Administration of Foreign Exchange recently stated that the country’s international balance of payments has maintained a basic balance in the first quarter, and that cross-border capital in the first quarter continued its net inflows since the second quarter of last year. Judging from the current policy trends, Anbound researchers believe that the so-called "self-balancing" has become the core of China’s foreign exchange policy. “Self-balancing” refers to relying mainly on China’s own efforts to stabilize the exchange rate; the policies in the future will be adjusted and modified based on this core. However, the core of this policy faces two challenges: The first is the deterioration of the international trade situation, and the second is the weakening of China's economic situation.