September 15, 2021 | Stamford, CT — Although global trade volumes have rebounded from the depths of the crisis last year, Asian companies are still battling dislocations caused by COVID-19 and are looking to their trade finance providers for help.

Supply chain disruptions, surging shipping costs and elevated commodities prices are just a few of the pandemic-related challenges still roiling the businesses of large Asian corporates. In this difficult environment, large Asian corporates are asking their trade finance providers for support and advice.

Companies participating in the Coalition Greenwich 2021 Asian Large Corporate Trade Finance Study say they are interested in useful advice on geopolitical and country risk, as well as ideas about how to best hedge FX risks and other exposures. In terms of immediate challenges posed by the pandemic, companies are looking to their trade finance providers for proactive market updates, advice on operational issues like supply chain, work-from-home and digitization, and specific advice on financing, working capital and liquidity management.

All of the 2021 Greenwich Leaders in Asian Large Corporate Trade Finance earned recognition from corporate clients for delivering on these and other counts during the crisis. The 2021 Greenwich Share Leaders for Asian Large Corporate Trade Finance are BNP Paribas, HSBC, Standard Chartered Bank, DBS and Citi. The 2021 Greenwich Quality Leaders in Asian Trade Finance are Bank of America and BNP Paribas.

Applying ESG Standards in Treasury and Trade
Although a large majority of the companies participating in this year’s study adopted formal ESG targets for their companies, many large Asian companies have not yet determined the precise role ESG criteria will play in trade finance.

Going forward, companies will be asking their trade finance providers for advice about how to apply and implement ESG in the trade function. Today, a quarter of large companies want their trade finance providers to help achieve sustainable financing objectives, including the use of green bonds. Companies also see the move away from paper and toward digital as an avenue in which their banks can help support ESG standards.

“In general, companies are looking for their trade finance banks to take a proactive role, and to reach out with ideas about how to create and meet ESG goals in the areas of treasury and trade,” says Gaurav Arora, Head of Asia at Coalition Greenwich.

>Click here for the complete list of 2021 Greenwich Leaders in Asian Trade Finance.