Due to deteriorated results and margins, as well as increased payment delays and insolvencies our underwriting stance remains restrictive for the sector.
The proportion of domestic and foreign past due B2B invoices in Hong Kong (domestic: 50.0%; foreign: 50.3%) is higher than that recorded at regional level.
The total value of B2B sales on credit in Japan increased this year to 53.7%. Of the Asia Pacific countries surveyed, Japan was the most credit-friendly.
Private consumption is driven by wage growth while export growth is driven by Eurozone demand and the country´s improved international competitiveness.
Hungary´s economic growth is expected to rebound in 2017 and 2018 after a slowdown in 2016, but the high level of external debt remains a major weakness.
GDP is expected to grow 4.2% in 2017 and 3.7% in 2018, driven strong private consumption and rising investments including structural funds from the EU.
Despite the current rebound the long-term prospect for higher growth rates is subdued due to structural weaknesses and the negative impact of sanctions.
GDP growth is robust, but risks in the banking and corporate sectors have increased while high dependence on capital inflow remains a major vulnerability.
After a minor increase from 47.6% in 2015 to 48.4% in 2016, the percentage of overdue B2B invoices appears to be flattening out, rising to 48.8% in 2017.
As more and more carmakers rush to enter into the electric and hybrid car segment, annual capacity in China is about to exceed 7 million units by 2020.
Automotive suppliers´ margins remain structurally under pressure, as the powerful car manufacturers demand greater productivity, coupled with lower prices.
The level of insolvencies in the automotive sector is low compared to other Italian industries, and business failures are expected not to increase in 2017.
A large number of small supplier businesses could face higher business and credit risks in the future as margins have declined and challenges increase.
The Spanish automotive industry continues to benefit from the on-going economic rebound of the domestic economy as well as from increasing car exports.
Robust sales have kept profit margins of car producers and suppliers stable, and these are expected to maintain their current level in the coming months.
Most businesses in the automotive sector should be financially resilient enough to cope with some minor volatility in demand or exchange rate fluctuations.
Atradius forecasts insolvencies across advanced markets to fall by 3.0% this year and 2.0% next year, particularly led by an increasingly robust recovery in the eurozone.
GDP growth will decrease in 2017 as sharp inflation increase restrains consumer demand, but in the medium-term the economy should benefit from reforms.
Reforms have been made to diversify the economy by developing manufacturing and providing a favourable investment environment. But stumbling blocks remain.
With the oil price well below its fiscal break-even level of around USD 78, the government still faces the challenge of keeping a tight grip on spending.
La lotta alla burocrazia e la riforma dei sistemi fiscali e di sovvenzione sono necessari per migliorare le condizioni economiche e ridurre l'alto tasso di disoccupazione.
Tackling bureaucracy and reforming the tax and subsidy systems are necessary to improve the economic conditions and to reduce the high unemployment rate.
Producers are looking to take further advantage of low natural gas prices in the US, which enables the significant expansion of methane-based projects.
Profit margins of British chemicals businesses could be negatively affected by domestic economic uncertainty over the outcome of the Brexit negotiations.
The sector records solid growth rates, but caution is advised with smaller fuel wholesalers and stations due to a grey economy in fuel trade in the past.
