China has used its digital yuan to settle a durian import from Malaysia, reducing transaction times to 30 minutes and bypassing the Swift system.

China has completed its first outbound digital yuan (e-CNY) payment to Malaysia, settling a 43,000 yuan (US$6,360) shipment of fresh durian. Executed by China Construction Bank’s Xiamen and Labuan branches, the transaction marks a step in Beijing's effort to develop a cross-border clearing network in Southeast Asia that operates outside the Swift system.

Efficiency and cost benefits

The e-CNY mechanism allows for direct bank-to-bank ledger transfers, which reduced settlement times to 30 minutes. This process bypasses intermediary clearing banks, enabling overseas recipients to convert the digital currency into Malaysian ringgit without incurring additional fees. Traditional cross-border settlements for perishable goods like durian previously took one to three business days. These conventional methods, which utilize the Swift network, typically cost between US$25 and US$35 per transaction and involved clearing fees of over 6 per cent.

Growth in tropical fruit trade

The payment follows a significant increase in the bilateral tropical fruit trade. Following a trade protocol signed in June 2024, the value of Malaysian fresh durian exports to China rose to US$37 million in 2025, compared to approximately US$5 million previously.