General

Trade Finance Market Size to Grow by USD 11.25 Bn| 56% of the growth to originate from APAC| Technavio – PR Newswire

Vendor Landscape

The market structure is expected to remain fragmented during the forecast period. Vendors are deploying different organic and inorganic growth strategies to compete in the market.

Banco Santander SA, Bank of America Corp., BNP Paribas SA, Citigroup Inc., Crédit Agricole Group, Goldman Sachs Group Inc., HSBC Holdings Plc, JPMorgan Chase & Co., Morgan Stanley, and Wells Fargo & Co. among others are some of the few key vendors competing to maintain their market position in the market.

Various players in the market are engaging in strategic partnerships and joint ventures coupled with launching differentiated products to up their game in the Trade Finance Market industry.

View more about the market’s vendor landscape highlights with a comprehensive list of vendors and their offerings.

Key Market Segmentation

  • Segmentation by Trade Finance Instruments: 
    • Traditional trade finance:
      • During the projected period, the traditional trade finance segment will gain a major proportion of the trade finance market. Enterprises are transitioning to supply chain trade finance as the market shifts toward open account trading. Due to tighter compliance requirements and the adoption of capital restrictions, such as Basel III, traditional trade financing increases the cost and complexity of operations for businesses. As a result, margin pressure on businesses increases. This encourages suppliers to provide businesses with new trade avenues. 
    • Supply chain finance
    • Structured trade finance

Request a FREE Sample of this report for more highlights into the Trade Finance market segments.

Regional Market Outlook

APAC will contribute 56% of the market growth during the forecast period.  The growth of this region can be attributed to the exponential growth of the real estate industry owing to the growing support from governments to strengthen trade finance, for increased exports.

Apart from regions, if we look at the country-wise market growth, the APAC, Europe, MEA, North America, and South America will contribute to the highest market growth.

Download our FREE sample report for more key highlights on the regional market share of most of the above-mentioned countries.

Latest Trends, Driving the Trade Finance Market

  • Market Driver:
    • The growing number of exports:

Globalization is fast rising, and the World Trade Organization (WTO) is lowering trade barriers, resulting in an increase in exports around the world, which will contribute to an increase in trade finance during the forecast period. When it comes to exports, once the shipment leaves domestic customs, it can take a long time to reach the consumer in transit. Domestic businesses will benefit from trade finance vendors who will provide them with the worth of their product as soon as the cargo leaves domestic customs.

These vendors also handle the letter of credit, which is required when things are shipped across international borders to customers. This, in turn, aids in the development of trust between the vendor and the customer, as well as the facilitation of simple trade.

  • Market Trend:
    •  Incorporation of technology with trade finance:

Another element supporting the trade finance market share increase is the integration of technology with trade finance. Across industries, such as banking, financial services, and insurance, technology plays an essential role (BFSI). In the previous few years, technological advancements, automation, and a certain amount of uniformity have been established in trade financing.

For example, a bank payment obligation (BPO) is an irreversible promise made by one bank to pay another bank if a mutually agreed set of data is successfully matched within SWIFT’s trade service utility. This helps banks maximize their working capital by reducing manual processes, acting as a risk mitigation tool, and reducing manual processes.

Find additional information about various other market drivers & trends mentioned in our FREE sample report.

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Trade Finance Market Scope

Report Coverage

Details

Page number

120

Base year

2019

Forecast period

2020-2024

Growth momentum & CAGR

Accelerate at a CAGR of 4%

Market growth 2020-2024

$ 11.25 billion

Market structure

Fragmented

YoY growth (%)

4.98

Regional analysis

APAC, Europe, MEA, North America, and South America

Performing market contribution

APAC at 56%

Key consumer countries

China

Competitive landscape

Leading companies, Competitive strategies, Consumer engagement scope

Key companies profiled

Banco Santander SA, Bank of America Corp., BNP Paribas SA, Citigroup Inc., Crédit Agricole Group, Goldman Sachs Group Inc., HSBC Holdings Plc, JPMorgan Chase & Co., Morgan Stanley, and Wells Fargo & Co.

Market dynamics

Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID 19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period

Customization purview

If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

Table  of  Contents

Executive Summary

Market Landscape

  • Market ecosystem
  • Value chain analysis

Market Sizing

  • Market definition
  • Market segment analysis
  • Market size 2019
  • Market outlook: Forecast for 2019 – 2024

Five Forces Analysis

  • Five Forces Summary
  • Bargaining power of buyers
  • Bargaining power of suppliers
  • Threat of new entrants
  • Threat of substitutes
  • Threat of rivalry
  • Market condition

Market Segmentation by Other 1

  • Market segments
  • Comparison by Other1 placement
  • Traditional trade finance – Market size and forecast 2019-2024
  • Supply chain finance – Market size and forecast 2019-2024
  • Structured trade finance – Market size and forecast 2019-2024
  • Market opportunity by Other1

Customer landscape

Geographic Landscape

  • Geographic segmentation
  • Geographic comparison
  • APAC – Market size and forecast 2019-2024
  • Europe – Market size and forecast 2019-2024
  • MEA – Market size and forecast 2019-2024
  • North America – Market size and forecast 2019-2024
  • South America – Market size and forecast 2019-2024
  • Key leading countries
  • Market opportunity by geography

Drivers, Challenges, and Trends

  • Market drivers
  • Volume driver – Demand led growth
  • Volume driver – Supply led growth
  • Volume driver – External factors
  • Volume driver – Demand shift in adjacent markets
  • Price driver – Inflation
  • Price driver – Shift from lower to higher-priced units
  • Market challenges
  • Market trends

Vendor Landscape

  • Overview
  • Vendor landscape
  • Landscape disruption

Vendor Analysis

  • Vendors covered
  • Market positioning of vendors
  • Banco Santander SA
  • Bank of America Corp.
  • BNP Paribas SA
  • Citigroup Inc.
  • Crédit Agricole Group
  • Goldman Sachs Group Inc.
  • HSBC Holdings Plc
  • JPMorgan Chase & Co.
  • Morgan Stanley
  • Wells Fargo & Co.

Appendix

  • Scope of the report
  • Currency conversion rates for US$
  • Research methodology
  • List of abbreviations

About Us

Technavio is a leading global technology research and advisory company. Their research and analysis focus on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions. With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

Contact

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: [email protected]
Website: www.technavio.com/

SOURCE Technavio

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