Chinese suppliers are being asked to accept longer payment terms and, though late payments are down in the country, many are experiencing “ultra-long” payment delays as outlined in the Coface survey on Chinese corporate payment behavior.
The survey polled over 1,000 suppliers from across all major economic sectors. Respondents remained optimistic about the economic outlook over the next 12 months, with 52% expecting business conditions to improve in 2025 however the sheer number of companies in the country is posing problems. Too much competition was seen as a risk factor heading into 2025 by 65% of respondents. Slowing demand was next on their mind at 56%.
