Tradewind Finance Hosts Webinar on Trade Route Shifts and Working Capital Challenges
On September 9, Tradewind Finance hosted a webinar titled 'Beyond the Horizon: Rethinking Trade Routes from Far East to Americas,' bringing together industry leaders to discuss evolving supply chain dynamics. The session highlighted how geopolitical shifts, sourcing changes, and tighter working capital are reshaping global trade routes. Key findings include that companies now take an average of 67 days to convert cash spent on operations into customer payments—up from the ten-year average by three days. Asia faces particular challenges with a DSO (Days Sales Outstanding) of 59 days, while payment delays are worsening globally due in part to increased use of credit terms and reduced bank financing. The panel emphasized that non-recourse export factoring is becoming increasingly strategic as companies seek solutions for cash flow pressures caused by extended receivables. Supply chain diversification has moved beyond a temporary response to the pandemic, with Chinese manufacturers relocating production to countries like Vietnam, Mexico, and Costa Rica.
Topics: export factoring global trade dynamics supply chain working capital