LC's from China
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nancyjohnston
- Posts: 1
- Joined: Fri Apr 05, 2019 5:20 pm
LC's from China
I have been told that even irrevocable LC's from China are uninsured, and therefore worthless. If anyone has any knowledge on exporting to China and using LC's, PLEASE contact me here. Thank you.
LC's from China
CHINA HAS IMPROVED A LOT NOW
We are China Trade expert and have handled a lot of DC dispute cases involving banks in China. The situation has improved a lot now. Your information is a bit out-dated.
WHAT HAS CHINA DONE?
For example, many innovative yet practical suggestions to the ICC Banking Commission are from Mr. Shan Jiao Bao, the newly appointed Vice Chairman of ICC Banking Commission. He is keen to improve the service standard of banks in China. He has also liaised closely with the high courts in Beijing to ensure that all judicial decisions in China are matching the UCP 500.
EVERWHERE IS THE SAME FOR PAYMENT DISHONOUR
If you are talking about wrongful dishonour, this is not exclusive to China trade. It is the same everywhere. That is why we have so many litigations, even in USA and England.
THINGS TO WATCH OUT IN DC OPERATIONS
The important things are that:
(a) You should know what you are doing and understand the UCP 500 and the inherent risk in DC payments.
(b) You compare the DC with the sales/purchse contract to ensure no conflicts.
(c) You examine the terms and conditions in the DC to ensure easy compliance.
(d) You keep your staff well trained by experts on a continuous basis.
(e) You are backed up by experts, in case of need.
Otherwise no matter where the DC may come from, you are bound to have troubles.
http;//www.tolee.com
[edited 11/13/01 5:57:53 AM]
We are China Trade expert and have handled a lot of DC dispute cases involving banks in China. The situation has improved a lot now. Your information is a bit out-dated.
WHAT HAS CHINA DONE?
For example, many innovative yet practical suggestions to the ICC Banking Commission are from Mr. Shan Jiao Bao, the newly appointed Vice Chairman of ICC Banking Commission. He is keen to improve the service standard of banks in China. He has also liaised closely with the high courts in Beijing to ensure that all judicial decisions in China are matching the UCP 500.
EVERWHERE IS THE SAME FOR PAYMENT DISHONOUR
If you are talking about wrongful dishonour, this is not exclusive to China trade. It is the same everywhere. That is why we have so many litigations, even in USA and England.
THINGS TO WATCH OUT IN DC OPERATIONS
The important things are that:
(a) You should know what you are doing and understand the UCP 500 and the inherent risk in DC payments.
(b) You compare the DC with the sales/purchse contract to ensure no conflicts.
(c) You examine the terms and conditions in the DC to ensure easy compliance.
(d) You keep your staff well trained by experts on a continuous basis.
(e) You are backed up by experts, in case of need.
Otherwise no matter where the DC may come from, you are bound to have troubles.
http;//www.tolee.com
[edited 11/13/01 5:57:53 AM]
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larryBacon
- Posts: 689
- Joined: Fri Apr 05, 2019 5:26 pm
LC's from China
If it was true that Chinese L/Cs were worthless, it would not be possible to have them confirmed. As banks outside China are willing to do so, this debunks the allegation.