Publications

While sales in the Mexican automotive market remained subdued in the first half of 2018 car exports have increased 10%, helped by new production plants.

Due to the high export dependence any imposition of import tariffs by the US would have an adverse impact on the sector, especially for Tier 1 businesses.

Payment duration in the Slovakian automotive sector ranges from 45 to 90 days, and the payment experience has been good over the past two years.

Profit margins are rather high in the sector, with most businesses financially resilient enough to cope with minor volatility in demand or commodity prices.

The global economy is in an upswing based on broad-based economic growth and still-low interest rates, but we are reaching a turning point.

Despite the rebound in oil prices economic growth is expected to recover only modestly in 2018 as fiscal consolidation hampers private consumption growth.

Despite the painful short-term effect of rising prices for consumers, in the medium-term the economy should benefit from the IMF-programme related reforms.

Economic expansion has been maintained through robust performance of automotive, aeronautics, chemicals and electronics industries and the tourism sector.

The economic diversification will proceed only slowly, leaving the economy largely dependent on oil revenues and state support for the time being.

Tackling bureaucracy and reforming the tax and subsidy systems are necessary to improve the economic conditions and to reduce the high unemployment rate.

Economic growth is expected to accelerate in 2018 and 2019, due to higher oil prices, stronger external demand and the easing of fiscal consolidation.

Chemicals businesses dependent on raw materials imports are highly exposed to exchange rate volatility and the looming threat of trade restrictions.

Good short-term outlook for the chemicals sector, but Brexit poses a downside risk for businesses profitability and payment behaviour in the mid-term.

Indonesian pharmaceuticals sector growth is driven by a rising population and the roll-out of the government's universal healthcare insurance system.

Further growth expected, but businesses dependent on construction, construction materials and consumer durables still require particular attention.

Potential taxes on chemicals-related imports could find US chemicals businesses paying more for feedstocks and would negatively impact supply chains.

Sales growth in the pharmaceuticals and healthcare market is supported by a robust economic outlook and increasing private and public healthcare spending.

Payment delays have not increased in 2017, despite many businesses suffering from decreased liquidity due to higher import prices for commodities.

Payment behaviour in the Polish chemicals sector has been good over the past two years, and the number of non-payments and insolvencies has been low.

Payment delays and insolvencies are expected to increase in the chemicals sector due to lower sales and the lira depreciation since the end of 2017.

Despite concerns about energy security, the gas trade between Europe and Russia is working for the benefit of both

All eyes are on US trade policy, but we forecast trade to continue to grow robustly in 2018.

The percentage of overdue B2B invoices increased in 2018 impacting 64.1% of survey respondents in countries surveyed in the Americas.

Like most of their peers in the Americas, respondents in Brazil reported an increase in the proportion of overdue B2B invoices this year.

The recent bout of lira depreciation in the run-up to the snap elections has reduced import demand from Turkey and increased payment risk.

Pound sterling depreciation in the aftermath of the Brexit referendum in June 2016 has had significant impacts on UK-EU trade flows.

Despite still high growth rates the sector is facing a challenging economic environment, with fiercer competition and oversupplies in some segments.

A deterioration of trade relations with China could negatively affect the ICT component supply side and confront US end-consumers with higher sales prices.

Despite increasing challenges a recovery of the exchange rate and a rather stable economic outlook for 2018 should help the ICT industry in the short-term.

While many Japanese ICT businesses are highly indebted, companies obtain finance easily as banks are very willing to lend and interest rates are low.

Despite continued sales growth, most German ICT businesses operate on very tight margins due to fierce competition and price erosion in most subsectors.

Payment experience over the past two years has been good in the ICT sector and the level of insolvencies is low, with no major change expected in 2018.

Despite overall growth, many French ICT companies face structurally low margins, price pressure and an on-going consolidation process in the market.

While Dutch ICT distributors are becoming larger, many smaller companies are changing their business model to have a more service-oriented approach.

Despite robust growth rates, pricing pressure and cheap imports are key challenges in the domestic ICT market, especially for smaller IT distributors.

Due to limited organic growth opportunities and the on-going economic uncertainty, market players strive to expand through acquisitions and specialisation.

Despite signs of stabilisation since H2 of 2017 the ICT sector remains fragile, with businesses’ profit margins expected to shrink further in 2018.

Payment behaviour in the ICT sector has been good over the past two years, and the number of payment delays and insolvencies is expected to remain low.

Despite minor improvements, the impact of late payments cannot be denied and businesses in Asia Pacific need more time to convert B2B invoices into cash.

In 2018, respondents in Australia reported a steep increase in DSO and the need for more time to convert B2B invoices into cash.

Payment delays have remained largely stable and payment duration improved. Bankruptcy and failed collection attempts remain top reasons for write-offs.

Despite improvements, the proportion of overdue B2B invoices and that of uncollectable B2B receivables in Hong Kong remain some of the highest in Asia Pacific.

2018 brought many changes in India – more frequent payment delays, increases in the proportion of overdue B2B invoices and DSO, a longer payment duration.

In 2018, respondents in Indonesia reported an increase in the frequency of late payment and a significant increase in overdue B2B invoices.

In 2018, respondents in Japan reported an increase in overdue B2B invoices and a longer time to convert B2B invoices into cash.

Despite improvements, the vast majority of respondents in Singapore reported frequent late payments by their B2B customers.

Changes in the average payment terms and payment delays brought an increase in Taiwan’s average payment duration which is the second highest in the region.

In 2018, economic growth is expected to remain above 2%, sustained by domestic and international demand. The momentum is forecast to slow down in 2019.

In 2018 the number of Belgian business insolvencies will still be higher than the levels seen before the start of the global credit crisis in 2008.

The Danish economy has regained some of its international competitiveness due to structural reforms that addressed the issue of high labour costs.