Tradewind completed a deal with a China-based tire company based to provide a recurrent facility of $800,000 to support the company’s export business to the U.S.
The supplier, whose products are sold globally, has additional branches in the U.S., Africa, and Southeast Asia.
With U.S. buyers embracing open account payment terms, which give them longer windows to pay their invoices, the client faced increased financial pressure and risk, so it turned to Tradewind for help.
Tradewind arranged a financing solution that expedited cash flow to the client, replenishing its working capital reserves, and at the same time provided credit protection that covered the risk of nonpayment due to buyer insolvency.
To avoid the blow of tariffs affecting the tire industry, the Chinese company moved its operations to its Southeast Asia branch. Based on the relocation, Tradewind adjusted its services in line with the move, financing invoices on exports from Southeast Asia, instead, and wiring funds to the company’s U.S. account.
“Tradewind has extensive experience in the automotive and auto parts industry, which we used to customize an optimal financing solution for our client with a quick funding turnaround. We are especially happy to have leveraged our global presence and international capabilities and provide flexibility and security during a time of volatile trade conditions,” said Li Fang, sales manager of Tradewind Shanghai.
