Exchange rate euro dollar

Exchange rate euro dollar

The euro gained significantly in the past year. While in February 2020 the euro was at $1,08, this February is just over $1,21. This represents an increase of 11% compared to last year.

However, we have seen slight declining fluctuations in value in recent weeks. One factor is the slow process of Corona vaccination in the EU. Insiders are optimistic that the decline is only temporary. They also describe that more and more foreign exchange investors prefer the dollar. Despite the change of the US president, the dollar is on the rise. On the one hand, it benefits from solid North American economic data, on the other, the bad mood in Asian equity markets also supports this trend. The current instability of the euro is not alarming and meets the expectations of the financial experts.

It remains to be seen whether the increase of the euro will continue. We will be happy to invoice you in dollars on request. Simply contacts us for this purpose.

Legal opinion of ‘Initiative Lieferkettengesetz’

Legal opinion of ‘Initiative Lieferkettengesetz’

Dear Business Partner,

because of our ethical principles, it is our goal to protect every human being involved in our supply chain. Human rights must be defended at all costs.
The legal opinion ‘Initiative Lieferkettengesetz’ immediately appealed to us, particularly because not all business-related human rights abuses are covered by German Law.

The paper proposes improvements for the judgment of liability and requires aligning a supply chain law with the introduction and definition of offenses. The law asks for the principle of due diligence. Human rights abuses due to a lack of care of a business should be punished.
We support the demands of the letter and see the opinion as a significant milestone against human misuse. Human dignity is inviolable. Please contact us directly in case you have questions about our policies to protect human rights.

Brexit and its logistics challenges

Brexit and its logistics challenges

The current developments in Great Britain lead to a challenging situation.
Traffic at the borders and a decelerated custom process are only the ‘tip of the iceberg’.

Since January, deliveries into the UK have to be customs cleared of course. Every day, many trucks just unload cargo at destination and leave. Then the receiver realizes that customs clearance has to be done and apply for it after. Currently, customs offices are quite forgiving. In the future, it can be expected that faults will not be tolerated anymore.

The management of empties is elaborated. Empty trucks crossing borders have to carry original documents (no scans) for their empty load. Recently trucks got refused in Dover and had to go back to the UK, get original documents, and then go to the border again.
Since first January, every truck (above 7.5mt) that leaves the UK via euro tunnel or ferry has to provide a “kent access permit” (KAP) at the French border to be able to enter the EU.

Some companies like German GmbH entities have branch offices in England. Now they would need to be registered as limited companies to do business as usual. Many companies just realized that issue in January.
Many custom agents in the UK are badly trained and don’t know how to deal with new customs regulations, also there’s a lack of customs agents in general.
Moreover, the UK customs system (CHIEF) is overloaded and crashes every once in a while.

Many trucking companies are badly prepared and don’t know the new regulations. The incalculable risks lead to higher prices and delays. Apart from this Companies are challenged with a higher risk of withdrawal of orders due to an unknown future of the development in GB.

Experts of the German trade chamber rate the current situation as a continuous problem that might get worse. We take the situation seriously and are happy to answer all your questions.

Year of the Ox

Year of the Ox

Dear business partner,

2021 is the year of the Ox according to the lunar calendar.

The Ox is a valued animal in China, as it stands for hard work and reliability while being honest and intelligent.

Below we would like to share the dates of public holidays in China this year:

International New Year: Jan 1st – 3rd
Chinese New Year: Feb 11th – 17th
Qing Ming Festival: Apr 3rd – 5th
Labor Day: May 1st – 5th
Dragon Boat Festival: Jun 12th – 14th
Mid Autumn Festival: Sep 19th – 21st
National Day: Oct 1st – 7th

Have you seen the new Petrex Wave?

Have you seen the new Petrex Wave?

The Petrex Wave has been our recognition feature since our company was founded back in 1999. You may find it in our brochures, powerpoint presentations or wall calendars. During the last two years we enlarged and rejuvenated our team to bring in new ideas and building the foundation for the company’s future. In this context, we decided to get a fresh Petrex Wave, representing the balance between old and new – our original motivation to run this company with passion and believing in the service we provide… as well as changing our processes to go with the time.

By the way, we will launch our new ERP system on the first of January. You will notice it on all our documents.

Freight congestion leading to delays and higher prices

Freight congestion leading to delays and higher prices

Christmas season, Brexit fears and uncertainties due to Covid have a huge impact on international logistics services.

The non-availability of empty container equipment in origin countries leads to a strong capacity bottleneck now and in the near future. Carriers are announcing various surcharges like PSS, Equipment Imbalance Fee, Contingency Surcharge and others. Vessels from Asia to Europe are heavily overbooked. There is a first come first serve mentality in the market. Same additional fees as mentioned above must be accepted to ensure cargo being loaded on board.

Petrex already started in October to amend shipping schedules and increase buffer stock for key customers, especially in the UK. If you have further questions regarding the current shipping situation, please contact us directly.

15 Asia Pacific countries sign worlds largest free trade agreement

15 Asia Pacific countries sign worlds largest free trade agreement

The agreement will cover one third of the worlds GDP and population and was signed by Australia, China, Japan, New Zealand, South Korea and the 10 members of ASEAN, including Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam. India withdrew from the RCEP (Regional Comprehensive Economic Partnership) negotiations last year due to concerns about its agricultural and manufacturing sectors when facing more foreign competition.

The trade deal was made in order to recover from the pandemic. It lowers tariffs, opens up the service sector and sets common trade rules.

Interested in Sterile Amoxicillin Trihydrate?

Interested in Sterile Amoxicillin Trihydrate?

Petrex has started a cooperation with North China Pharmaceuticals Corp. (NCPC) to develop, produce and distribute Sterile Amoxicillin Trihydrate.
Our in-process sterilization has many advantages compared to other methods like radiation or ethylene oxide sterilization. Our product has a low impurity profile and comes in sterile packing.

We are currently working on the ASMF and plan to enter the market in first half of 2021. Product validation has been done and samples are ready for dispatch.

Please contact Petrex in case you are interested in optimizing your supply!

Golden Week in China

Golden Week in China

China expects a huge tourism rebound in domestic travels during the upcoming October holiday. Starting October 1st with Chinas National Day, online travel platform trip.com estimates that 600 million trips could be made until end of the festival on 8th October (782 million trips last year).

Traveling to other countries is almost no option these days. Not only strict entry policies in other countries but also mandatory 14 days quarantine in a designated hotel upon return to China forces citizens to travel only nationwide this year. Domestic travel bans have been lifted, but there are still some restrictions. Schools in Beijing and Shanghai for example have asked parents and students not to go away for the holidays unless strictly necessary.

USD – EUR Exchange Rate Development

USD – EUR Exchange Rate Development

Over the past year the EUR USD exchange rate was quite stable at around 1.10 with ups and downs to 1.12 or 1.08. Since June however, the EUR steadily gained against the USD and reached a two-year high of 1.1965 this Tuesday.

On the one hand the Euro is getting stronger, mainly because the European economy seems to find a better way out of the Covid crisis. On the other hand the USD faces losses against almost every currency recently. Since beginning of July it dropped 6.4% against Swedish Krona, 2.5% against the Japanese Yen and even against emerging market currencies such as the Brazilian Real or the Mexican Peso it fell 6.0 and 4.9%.

In case the United States will struggle to contain the pandemic in near future, financial experts predict that the EUR further gains against the USD, going beyond the psychological mark of 1.20 very soon.