question on plain pg_dump file usage

I have to do an out-of-place Postgres migration from PG12 to PG16 using:

pg_dump -F p -f dump.sql …

sed -i "s/old_name/new_name/g"

psql -f dump.sql …

Both databases are on UTF-8.

I wonder if there could be character set conversion errors here, as the data is temporarily written to a plain text file.

Thanks, Markus