As the exporting company, do you want to obtain an advantageous position in exporting tender and increase your international competitiveness? Do you want to receive foreign currency more in a faster and safer manner and accelerate capital circulation? Do you still worry about the lack of capital on export projects due to insufficient credit limit offered by bank?

 

When you meet with such problems in processing exploring the overseas market, you may consider the export credit offered by CCB.

Supported by the government, the domestic financial organizations may offer preferential loans for our exporters, foreign importers and banks from importing countries. Currently China offers the export credit insurance for such preferential loans.

 

Types of services

The major types of export credit including buyer’s credit for export and seller’s credit for export.

The buyer’s credit for export means that in the trade of large-sized machines and whole set of equipments, the bank may offer the export credit support to foreign importer or the banks of the importer for the purchase of equipments.

seller’s credit for export means that in the trade of large-sized machines and whole set of equipments, the bank may offer the export credit support to the exporter so that the exporter may sell the equipment in the form of deferred collection of payment.

 

Application Requirements

Eligibility for Applying for Buyer’s Credit for Export:

The amount of the trade contract shall not be lower than USD 4 million.

The localization rates of whole set of equipment and ordinary mechanical and electrical products shall not be lower than 70% and the localization rates of ships shall not be lower than 50%.

The importers may make sight payments with convertible foreign bank-notes. Generally, the proportion shall not be lower than 15% of the contract amount. For ship transactions, the proportion shall not be lower than 20% of the contract amount before the ship is delivered.

The trade contract must follow the laws and rules of both importing and exporting countries and governments, obtain the approval from both governments, and obtain the documents of agreement from the foreign exchange authorities of importing country for the remittance of all principals, interests and costs of the loan (applicable for countries that regulate the foreign exchange).

The trade contract should follow the rules of China Export ＆ Credit Insurance Corporation.

 

Eligibilities for Applying for Seller’s Credit for Export:

The operational, managerial and financial status of the client is in good conditions. The client should have independent rights of disposal over the assets, have the ability to fulfill the export contract and open an account in CCB.

The client may achieve good economic benefits in export projects. The cost of currency conversion is reasonable and all supporting conditions are fulfilled.

The client must offer the repayment guarantee acceptable to the bank.

The amount of the trade contract shall not be lower than USD 500 thousand.

The localization rates of whole set of equipment and ordinary mechanical and electrical products shall not be lower than 70% and the localization rates of ships shall not be lower than 50%.

The importers may make sight payments with convertible foreign bank-notes. Generally, the proportion shall not be lower than 15% of the contract amount. For ship transactions, the proportion shall not be lower than 20% of the contract amount before the ship is delivered.

The trade contract must follow the laws and rules of both importing and exporting countries and governments and obtain the approval from both governments,

The client need to obtain the export credit insurance offered by China Export ＆ Credit Insurance Corporation.　

 

Currency and term

The loan can be extended in RMB loan and foreign currency. The term shall not exceed 10 years (including the period of construction and grace period) and the term of ship financing shall not exceed 15 years.

 

Interest rate

The interest rate for RMB loan is set according to the rules of CCB. The interest rate for foreign exchange loan is negotiated by the lender and the borrower based on the interest rate level of the OECD.