SINOSURE — China Export & Credit Insurance Corporation
What is SINOSURE? Sinosure is a state-owned Chinese export credit insurance corporation. Sinosure insures Chinese suppliers against credit and political risks in international trade. If your company becomes financially insolvent, Sinosure guarantees the supplier payment under the contract. Why is this important for buyers? If your company has a Sinosure credit limit, you can get a deferred payment from your supplier for a period of 90, 120 or even 180 days. Lack of working capital is one of the main problems of international trade. Buyers want to receive goods from China with deferred payment, while Chinese manufacturers want to receive a full prepayment from the customer. The main reason for Chinese suppliers not wanting to provide deferred payment is the risk of non-payment on the side of overseas buyers. Very often, Chinese manufacturers do not have enough experience to independently verify the creditworthiness of their buyers and decide whether or not to grant a deferral...