HSBC Rebrands Trade Services to “Global Trade Solutions”
(12 June 2024 – United Kingdom) HSBC has announced the launch of Global Trade Solutions (GTS), a new identity for the bank’s long-standing Global Trade and Receivables Finance (GTRF) business.
Global Trade Solutions builds upon HSBC’s 155-year foundation as a trade bank, whilst creating new ways to connect the world through trade. Under the bank’s new identity, HSBC announced that it plans to serve as global connectors that will help customers know where, how, and with whom they want to trade.
The global bank major also promised to provide “safer, smoother digital trade experience, supported with structured working capital solutions” to clients and to continue serving as trusted partners through growth, disruption and uncertainty by bringing insights and ideas to its clients to protect and grow their business. HSBC said that its trade operations enable clients to access to “90 percent of global trade flows” through its enviable network of 1.3 million businesses and relationships with suppliers and buyers. In 2023, the bank facilitated US$850 billion in trade.
HSBC is focused on the significant potential in Asia, noting that trade integration in the continent is “advancing rapidly.” Intra-Asian exports are reportedly expected to grow to US$7.1 trillion in 2030, from just US$4.3 trillion in 2023. Of the world’s top 30 trade corridors, 11 involve Asian economies on both ends according to HSBC Global Research.
“Our rich trade history is a modern-day strength for the businesses we support. The launch of Global Trade Solutions marks the next stage in our ambitious global trade journey. Through the power of our networks, HSBC’s business customers can reliably access and connect to the biggest and fastest growing trade hubs globally, helping them grow and operate across borders, whilst navigating a constantly evolving trade landscape” commented HSBC Global Head of Global Trade Solutions, Vivek Ramachandran.
“While HSBC is successfully fending off fierce competition from Big 3 rivals Citi and Standard Chartered in the ultra-competitive Asia trade finance market, rising customer switching intent highlights the challenge of needing to “run faster just to stand still”. East & Partners long running Asia Trade & Supply Chain Finance research, based on direct interviews with the Top 100 corporates in ten countries across Asia, reveals sustained relationship share growth of two percent year-on-year for HSBC will be difficult to sustain as CFOs and treasurers increasingly field competitive approaches for their trade business from StanChart and Citi but also DBS and Bank of China” commented East & Partners Global Head of Markets Analysis, Martin Smith.
“What are corporates looking for when switching to a new trade provider? Competing priorities for digital innovation, relationship management, ESG, liquidity management and streamlined FX integration have seen customer expectations rise rapidly.”
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