K-SURE Supports Expansion in European Smartphone Market with $100 Million Trade Insurance

Financial Support for Spanish Telecom’s Purchase of Samsung Devices
First Application of Reverse Factoring... Reducing Local Buyers’ Burden to Expand Market Share

Youngjin Jang, President of the Korea Trade Insurance Corporation

Korea Trade Insurance Corporation (K-SURE) will provide trade insurance support worth 100 million dollars (80 million euros) to strengthen the competitiveness of Korean companies in the European smartphone market.

On July 28, K-SURE announced that it would offer trade insurance worth 100 million dollars to enable a Spanish telecommunications company to secure financing necessary for purchasing Samsung Electronics' mobile devices.

This support will be provided via a trade insurance-backed method, in which financial institutions extend the payment period for the importer. This approach allows local buyers to reduce liquidity burdens, while ensuring that Korean exporters can stably secure export payments.

Notably, this is K-SURE’s first case of supporting trade through the “Reverse Factoring” method, which involves securitizing the importer's accounts payable. While previous financial support generally focused on exporters, this initiative aims to strengthen the export competitiveness of Korean companies by supporting the financing needs of overseas buyers.

K-SURE expects that this financial support will help enhance the local competitiveness of Korean companies in the Spanish smartphone market, where competition with Chinese firms is particularly fierce.

Youngjin Jang, President of Korea Trade Insurance Corporation, stated, "This is a case where we have helped boost the overseas competitiveness of our companies through trade insurance," adding, "We will continue to actively support the overseas expansion of Korean companies by providing customized trade insurance for individual export transactions."

This content was produced with the assistance of AI translation services.