Moog Inc, manufacturer of plane parts, satellites and space shuttles, transacted its first cross-border intercompany renminbi loan on April 28, by lending an undisclosed sum from Moog’s China entity to its Singapore office with the aid of J.P. Morgan.

Since last winter, the People’s Bank of China has allowed select multinationals to alleviate their “trapped cash” headaches. Cash-rich entities of MNCs in China previously had a hard time repatriating the funds out of the border. Before such initiative was launched, foreign firms could either funnel money out through dividend payout which have withholding tax implication or via restricted entrustment loans.

To date, Ford Motor Company, Danone, Emerson, Schneider Electric, General Electric Capital, Moog and a handful of Chinese and foreign MNCs have been granted the renminbi lending quota by People’s Bank of China (PBOC) in the one-off scheme that is approved on a case-by-case basis.