Coface releases today the resulats of its survey on corporate payment behaviour in China.
Coface's survey on payment behaviour shows that more companies are prepared to grant payment terms in 2023, but that they have shortened the average term from 81 to 70 days.
Junyu Tan, North Asia Economist at Coface, said: “2023 was the year when economic activities generally normalised from the pandemic. The same went for corporate business practices regarding payment terms. As market competition and practices returned to normal, more companies took the initiative to grant payment terms. But corporates have become more cautious and offered tighter payment terms. Coface’s 2024 China Corporate Payment Survey showed that average payment terms decreased in 2023. The use of risk management tools was also more prevalent in businesses.
