Commercial risks refer to potential losses arising from the trading partners or the market. It is important secure that the trading partners are reliable. In addition, it is important to take into account the trading partner's possible insolvency or unwillingness to pay. The choice of payment method is of utmost importance.
Choosing Trade Finance products and using the general Incoterms 2010 delivery clauses (pdf, 2 MB)Opens new window will diminish or eliminate many risks related to trading. For example, when a tailored product is manufactured and paid, we recommend you choose advance payment or documentary credit as the method of payment.
- Your trading partner cannot deliver or pay the products/services as agreed.
- Your trading partner does not want to act in accordance with the agreement.
- You have differences in interpreting the trade agreement.