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EXIM Covers Minnesota Lumber Company's Sales to China

Midwest Hardwood Corporation
Export Destinations: 
China, Vietnam, Hong Kong
EXIM Bank Product: 
Single-Buyer and Multi-Buyer Export Credit Insurance
Jobs Supported: 

Midwest Hardwood Corporation

EXIM assumes the credit and country risks that the private sector is unwilling or unable to accept. Thus, when private sector Euler Hermes would no longer insure the political and commercial risks of buyer nonpayment for Midwest Hardwood's sales to China, the Trade Acceptance Group, a trade insurance broker, introduced the company to EXIM. Its export credit insurance covers up to 95 percent of the company's sales invoice. 

This integrated hardwood manufacturer produces more than 80 million board feet of hardwoods with about 630 employees and three saw mills. Exports grew when Midwest Hardwood switched its entire foreign export credit receivables to EXIM Bank's multi-buyer policy in December, 2010. In addition to China, Vietnam and Hong Kong are also major markets.

"EXIM Bank made it easier to do business in not-traditional markets such as the Far East, China and emerging markets,"
Steve Kania, Corporate Credit Manager