The most recent Q1 Index of Global Trade Health from software business Tradeshift shows “encouraging” indicators for the global trade sector, with strong growth led by the US and China, suggesting a wider recovery in the demand for manufactured goods worldwide.
The trade statistics from around the world, derived from the Tradeshift network that is utilised by more than a million companies globally, indicated a one-point increase in overall transaction volumes as compared to the preceding quarter.
This is the ninth consecutive quarter of increase, despite Q1 ending three points below the expected range. This indicates a continuous rising trend following a period of “sluggish” activity.
Notwithstanding the encouraging indications of an order rebound, suppliers continue to face difficulties, especially with regard to liquidity and for those wishing to increase supply chain activity. While there has been a decline in invoice payment times since Q3 2022, suppliers are still waiting 6 per cent longer than they did before the pandemic.
