iQor RMS had reviewed in its earlier blog in regard the latest news of legal collection in China. Hereby we would like to share the current credit and recovery risks in doing business with the mainland China, and the various provisions of services/reports that help to mitigate risks in dealing with this market.
The Arrangement on Reciprocal Recognition and Enforcement of Judgments in Civil and Commercial Matters was signed between China and HKSAR in January 2019. This arrangement helps to skip the process of re-litigation and speed up account receivables collection in China by Hong Kong corporates.
The unpredictability and uncertainty of the US-China trading battle have triggered anxieties and fear on exporters trading between China and the US. Some said the tariffs paid to the US government should be importers of the US, not the manufacturers.
The US-China trade war has an enormous impact not only on manufacturers, but also severely crash on Hong Kong and China logistics companies. Cases and debts from logistics companies received by RMS have more than doubled in the last two months.
Photo by Jeffrey Swanson on Unsplash
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