Sinosure FAQ

Is it hard to start working with SINOSURE?
No, it's easy.

SINOSURE is a standard trade finance tool developed by the Chinese government to support international trade transactions involving Chinese suppliers. SINOSURE has been operating since 2001 and is promoted at state level. The tool is standardized and easy-to-use, and most Chinese suppliers work with it.
What are the benefits of SINOSURE?
The Chinese state-owned corporation SINOSURE is controlled by the Ministry of Finance of the People's Republic of China. The corporation plays a key role in the Chinese export support system. SINOSURE export credit insurance is mandatory for large state-owned corporations and is also widely promoted among Chinese entrepreneurs through the Chamber of Commerce in China. Chinese exporters are specially trained to work with this tool. Working through SINOSURE has the following benefits:

• Chinese suppliers have absolute trust in SINOSURE.
• All suppliers are accustomed to working with SINOSURE and accept it.

By using SINOSURE credit insurance, you are using the most powerful tool developed to support Chinese exports is working for the benefit of your company.
What is a SINOSURE credit limit?
A SINOSURE Credit Limit is an official electronic document that confirms the maximum amount of trade credit your Chinese suppliers can give you with SINOSURE insurance. The document, which is verified by Sinosure's digital seal, contains an electronic certificate from China Financial Certification Authority.
How much does it cost?
SINOSURE credit insurance coverage costs an average of 0.5% to 1.5% of each invoice for 90 days of deferment. The cost may vary depending on the amount of the contract, the country of the buyer, and the size of the insurance policy.
Who pays for SINOSURE?
Your supplier pays the SINOSURE insurance premium. Depending on your agreements with the supplier, he can bear this expense himself or add it to the invoice.
What other costs should my company pay?
If you hire Axton Global to arrange a SINOSURE credit limit, you will need to pay a credit investigation fee and our service charge. The service charge is a one-time payment made after your company has received credit-limit approval from SINOSURE.
Can I use SINOSURE insurance with multiple suppliers in China?
Yes, you can distribute your credit limit between several suppliers. For example, if your limit is $1 million, you can distribute it between 10 suppliers in parts of $100,000. Although the minimum amount is normally $100,000 per supplier, the rule is not rigorously applied, and it is sometimes possible to divide the credit limit into smaller parts of $50,000 per supplier.
For how long can I get a deferred payment with SINOSURE insurance?
SINOSURE allows the supplier to insure a trade credit for a period of 90, 120 or 180 days. The actual deferred period depends on you and your supplier agreeing on the term of a trade loan that your supplier is prepared to cover with SINOSURE insurance.
How long does it take to obtain a credit limit from SINOSURE?
It generally takes around 14-21 calendar days to set up a credit limit – the minimum is 7 calendar days.
What happens if I don't pay my supplier on time?
If you don't pay your supplier upon maturity, you will be given 30 days to pay the debt. If you don't pay the debt within 30 days, your supplier will send a Claim to SINOSURE, and SINOSURE will temporarily block your credit limit. If SINOSURE makes an insurance compensation to your supplier, they will blacklist your company and hire an international collection agency to recover the debt.
What if my supplier delivers defective goods?
If you can prove that the supplier delivered defective goods, no sanctions will be applied to you.
Can I get a deferment from SINOSURE for orders that are under production or en route?
No, unfortunately, you can't.

You cannot use SINOSURE under contracts that were signed before taking out SINOSURE insurance, You must first arrange SINOSURE and sign a new contract with your supplier. After that, you can receive shipments with deferred payment.
Does SINOSURE pays money to my supplier?
No, SINOSURE does not pay money to your supplier. SINOSURE is a guarantee trade finance tool. This tool guarantees that your supplier will receive insurance compensation in the event of your financial insolvency.
What are the requirements for the supplier?
To use SINOSURE, your supplier must have a SINOSURE insurance policy. If your supplier does not have a valid SINOSURE policy, he will need to open a new one.
What is the minimum credit limit from SINOSURE?
The minimum applicable credit limit is $100,000
What are the minimum requirements for my company to qualify for the credit limit?
• To qualify for a Sinosure credit limit, your company must have existed for at least one financial year.
• Your company must have achieved an annual turnover of more than USD 1 million in the last financial year.
• If your company showed a loss in the last financial year, or if you failed to pay any of your suppliers in China, you do not qualify for the credit limit.
Contact us
Speak with us about your organization's needs. Fill the form and our manager will contact you shortly.
Axton Global International Sales
+44 33 00272003
Axton Global Headquarters

+852 2127 0773
info@axtongl.com
Suite C, Level 7, World Trust Tower, 50 Stanley Street, Central, Hong Kong
Axton Global Shanghai Office
188 Jiangning Road , Shanghai, China
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