Citi GPS: Supply Chain Financing – Building Resilience as the New Definition of "Global" Emerges
22 Janeiro 2024 - 9:51AM
Business Wire
Today, Citi has launched the fourth edition of its Global
Perspectives & Solutions (Citi GPS) report titled: Supply Chain
Financing – Building Resilience as the New Definition of "Global"
Emerges. Its key findings show that global trade is undergoing a
period of transformation – the focus on supply chain resilience has
led to businesses and countries building new trade corridors, or
new relationships between dominant cities, economic development
agencies, and rural areas, as well as the diversification of their
supply chain partners.
The report provides industry insights from Citi’s proprietary
Global Supply Chain Pressure Index, which covers trade flows and
survey responses from multinational corporations and small- and
medium-sized enterprises (SMEs). More recently, shipping costs have
been boosted by disruptions in major canal routes, including
conflict in the Red Sea. While it is unclear how long these
disruptions will last, the Index shows shipping costs are still far
below levels reached during the pandemic and are not far removed
from typical pre-COVID-19 levels. The Index also indicates that
while corporates looked to move back towards just-in-time inventory
practices, they strategically held larger inventories for
components that are hard to source. Corporates continued to
diversify their supply chain resources by utilizing suppliers and
nearshoring, as well as creating new trade corridors.
In her foreword to this year’s Report Jane Fraser, CEO of
Citi noted:
“Today, amidst the backdrop of transformative technological
innovations, increasing resilience is the clear and resounding
call. We see nearly every country and company focused on security —
be it food, water, energy, cyber, financial, or operational
security. And consequently, they’re reconfiguring supply chains to
meet the demands of customers and other stakeholders. This
heightened focus on resilience has given birth to a new era of
diversification, and as businesses and countries adapt to this era,
we’re starting to see clear benefits in economic growth.”
For the first time, Citi asked respondents if they were
considering adopting a China Plus One strategy as a way to
diversify their supply chains. Over half of global respondents
indicated that they already had, or were considering, adopting such
a strategy, with North America leading other regions with 63%.
Vietnam was the preferred secondary destination, except in Latin
America, where respondents favor bringing production back to their
home market. Supply chain financing solutions are adapting to boost
resiliency strategies across the supply chain, especially for SMEs
and companies in emerging markets.
Chris Cox, Global Head of Trade and Working Capital Solutions
at Citi, said:
“Technology is at the heart of many new developments in trade
finance. Innovations such as artificial intelligence and blockchain
can enhance corporate operational efficiency, cut costs, reduce
fraud, and augment transparency throughout supply chains.
Transparency and mitigation of risk should help improve access to
efficient capital for corporates around the world.”
The digital copy of the report is available: here.
About Citi Global Perspectives & Solutions (Citi
GPS)
As our premier thought-leadership product, Citi Global
Perspectives & Solutions (Citi GPS) is designed to help readers
navigate the most demanding challenges and greatest opportunities
of the 21st century. We access the leading elements of our global
conversation with senior Citi senior professionals, academics, and
corporate leaders to anticipate themes and trends in today’s
fast-changing and interconnected world.
About Citi
Citi is a preeminent banking partner for institutions with
cross-border needs, a global leader in wealth management and a
valued personal bank in its home market of the United States. Citi
does business in more than 160 countries and jurisdictions,
providing corporations, governments, investors, institutions and
individuals with a broad range of financial products and
services.
Additional information may be found at www.citigroup.com |
Twitter: @Citi | LinkedIn: www.linkedin.com/company/citi | YouTube:
www.youtube.com/citi | Facebook: www.facebook.com/citi
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240122191183/en/
Victoria Ifan +1 212 816 6149 victoria.ifan@citi.com
Citigroup (NYSE:C)
Gráfico Histórico do Ativo
De Jun 2024 até Jul 2024
Citigroup (NYSE:C)
Gráfico Histórico do Ativo
De Jul 2023 até Jul 2024