The Clayre & Eef BV bankruptcy, including suppliers in Shandong, Fujian and Zhejiang, China will be implicated, because in recent years Clayre & Eef BV has purchased crafts from suppliers in these regions. It is reported that many companies have suffered losses.
Clayre & Eef BV is just one of many bankrupt companies. In recent years, overseas bankruptcy has continued, including American accessories brand Claire's, the world's largest toy retailer Toys R Us, children's clothing retailer Gymboree Corp, footwear discount retailer Payless Holdings LLC, fashion accessories retailer Charging Charlie, high-end denim brand True Religion Apparel Inc. and others are on the verge of bankruptcy or have gone bankrupt.
According to industry insiders the current world trade uncertainties are frequent, the US trade war continues, the exchange rate fluctuation risk, coupled with the domestic and foreign information asymmetry and the weakness of foreign trade enterprises' risk prevention awareness. In the foreign export trade, the risk account or Bad debts are constantly increasing. There are even many companies that take the initiative to accept credit orders in order to be able to sign orders. And once there is a problem, there will be an ending between money and goods. And when encountering such problems, it is often the suppliers who suffer from dark losses. Even if the international lawsuit is initiated, the biggest problem is that the time cost of the multinational lawsuit is too high. Even if it wins, there is a problem of implementation.
Therefore, he suggested that foreign trade companies must pay attention to risk control when signing orders, if it is a 30% deposit in advance, after shipment.