Sinosure Expands Short-Term Export Credit Insurance in 2025 (+14.6% YoY Growth)
Sinosure announced significant expansion in its short-term export credit insurance program during early 2025, with insured shipment volumes growing 14.6% year-over-year. This growth signals stronger institutional support for suppliers offering open account payment terms, including 90-120 day net terms to international buyers.
What is Short-Term Export Credit Insurance?
Short-term export credit insurance is the specific policy type that enables suppliers to offer extended payment terms without requiring upfront deposits. Unlike long-term project financing, short-term policies cover shipments with payment windows of 30 to 180 days, making them ideal for recurring trade relationships.
When a Chinese supplier insures a shipment to Canada under Sinosure's short-term program, they receive protection against buyer default. This security allows them to confidently extend 90-120 day payment terms instead of demanding 30% deposits or letters of credit.
The Numbers Behind the Growth
- •14.6% year-over-year increase in short-term policy issuance during Q1 2025
- •Hundreds of billions USD in total insured shipment value
- •Expanded coverage to include more SME exporters and cross-border e-commerce sellers
- •North American markets remain a priority destination for insured shipments
What's Driving This Expansion?
Several factors are contributing to Sinosure's aggressive expansion of short-term insurance coverage:
Government Policy Support
Chinese state-level guidelines emphasize strengthening export credit insurance to stabilize foreign trade. This institutional backing ensures Sinosure has the capital and mandate to expand coverage aggressively.
Supplier Demand for Competitive Advantage
Chinese manufacturers increasingly recognize that offering insured payment terms gives them a competitive edge over suppliers who require deposits. Sinosure coverage allows them to win more international contracts.
Buyer Preference for Cash Flow Flexibility
International buyers, particularly in North America, are actively seeking suppliers who can offer extended terms. This demand drives more suppliers to enroll in Sinosure programs.
Impact on Supplier Behavior
The expansion of short-term insurance is changing how Chinese suppliers approach international trade relationships. More factories are proactively enrolling in Sinosure programs and marketing their ability to offer insured payment terms as a key selling point.
This shift means Canadian importers have growing leverage to negotiate better payment terms. Suppliers who previously demanded 30-50% deposits are now more willing to consider 90-120 day net terms for buyers with approved Sinosure registration.
Why This Matters for Canadian Importers
More Suppliers Offering Extended Terms: As Sinosure expands short-term coverage, more Chinese suppliers can confidently offer 90-120 day payment terms to Canadian buyers. This means you have more negotiating power and supplier options.
Faster Approval Times: With increased institutional capacity, Sinosure is processing buyer registrations and credit limit approvals more efficiently. Canadian importers can expect shorter wait times for Buyer ID issuance.
Competitive Advantage: Importers who secure Sinosure registration now position themselves ahead of competitors who still rely on traditional bank financing or upfront deposits. Extended payment terms free up working capital for inventory expansion and marketing.
Reduced Financing Costs: Unlike bank loans or factoring arrangements, Sinosure-backed terms don't add interest expenses or fees to your cost structure. You simply pay your supplier within the agreed timeframe.
How to Take Advantage
To benefit from Sinosure's expanded short-term insurance program, Canadian importers need to complete the Buyer ID registration process. This involves submitting business documentation, financial statements, and trade history information for credit review.
Once approved, you receive a Buyer ID and credit limit that can be used with any Sinosure-enrolled Chinese supplier. The registration is valid across multiple suppliers and shipments, making it a one-time investment that unlocks ongoing payment term flexibility.