This paper, using transaction-level import data for India, documents that Indian importers (firms) reduce the share of dollar invoiced imports by 10.8% in response to a 1 percentage point decline in the cross-border dollar credit supply and substitute it with Euro invoicing. We establish a novel dollar invoicing channel of international trade by documenting that dollarization of trade as measured in various ways amplifies the well-known adverse effects of dollar credit shocks on trade by limiting the firm’s ability to use alternate currencies to invoice the trade. We highlight the positive role played by the global banks in shielding trade by supporting invoicing in alternate currencies. Our results suggest that the flexibility to use multiple currencies to invoice the trade acts as a shock absorber to trade against the credit shocks to the dominant currency.