European Country Significantly Shortens Payment Terms: Carriers Now Wait 20 Days Less

The results of the Permanent Observatory on Late Payments in the Spanish road transport sector for December 2024 show a positive trend in the reduction of payment terms.

In the last month of the previous year, the average payment term was 63 days, which is 20 days shorter compared to 2021, when stricter regulations on penalties for late payments in the road transport sector were introduced. This is also the lowest average payment term since the establishment of the Permanent Observatory on Late Payments, according to the Spanish association of road transport companies, Fenadismer, which prepares and publishes these data monthly.

Fenadismer also highlights that agencies specialized in assessing the creditworthiness of companies are lowering the “rating” of carriers and intermediaries who have been sanctioned for late payments, i.e., those on the list of debtors published twice a year by the Ministry of Transport. As a result, these companies not only face financial penalties but also encounter more difficult financing conditions.

In December, the share of carrier companies and intermediaries who failed to comply with the payment deadline regulations (i.e., with payment terms longer than 60 days) decreased to 48%. In 73% of cases, the payment delay was moderate (between 60 and 90 days).

However, on the other hand, 6% of companies still pay only after 120 days, which is an improvement compared to 2022, when this percentage exceeded 20%, according to Fenadismer.