March 31, 2010 - Posted by julixu - 0 Comments
China is noted for world factory,while importers continue meet problem,especially for small and medium size company. For big company,they usaully have office in China to contact with factories directly,monitor the progress,or have several purchasing and quality control staff to fly to China frequently to check,and since their buying is powerful,they can select and cooperate with big factory,so it usually goes smoothly for them.
But for small and medium size importer,that will be different.Big factory usually very busy,they want big order from big buyer,and they require high moq,they tend to produce big order first.In that way,small orders are hard to get into the door,or put behind & delay delivery.
Actually there are many smaller factories,there will be other problems:their quality control maybe not strict,they maybe not professional and make some common mistake,they can’t develop new products and keep trendy,they don’t have large client and the molding cost per product is higher,etc.
Besides,cutural difference,language communication problem(it takes long time to know a factory,just several visiting can’t know it well),with long distance can’t monitor the progress well.
Find a suitable factory needs time,engery,also cost,go step by step,visit it,place trial order,etc.It would be better if you have someone who can monitor the progress for you.
December 9, 2009 - Posted by julixu - 1 Comment
If you google to find China supplier,you many find many supplier,and each produce similar products,you will be puzzled.To contact with all of them is impossible.You need to narrow it down,specify the products,give the products details.Such as,if you search”China baby stroller manufacturer”,that would be many,but if you search “China baby stroller with carrycot manufacturer”,”baby stroller with aluminum frame China manufacturer”,the result will be less.
About Chinese suppliers,there are several types: manufacturer vs. 3rd-party supplier; Big corporation vs. small family-owned; 3rd-party supplier with in-house product development capability (can design and make according to your requirement) vs. 3rd-party supplier that just buys-in and sells-out; vertically integrated manufacturer(produce raw material,then assembly them) vs. assembly-based manufacturer(raw material outsourced); etc. Properly categorizing the suppliers will help you understand what you need. For example, if you need to import products in a narrow range, you may choose a manufacturer other than a 3rd-party supplier. If you are a small business and need dedicated attention, you may want to develop a good relationship with a small family-owned business.
For small factory with raw material outsourced,sometimes their material supplier is not quality controlled strictly,it may arouse product problem.For factory with design ability,make sure product structure is stable and safety tested.Some factory just copy other’s design,it just look similar with brand company,but the structure is worse.
Also need to pay attention to patent issue.If the product has patent,don’t buy it,it will meet Custom Clearance problem.
December 9, 2009 - Posted by julixu - 0 Comments
If you want to import from China,here is some basic preparation:
Understand trade terms and use them. You need to understand and confirm with your suppliers about shipment terms. Most popular are FOB and CIF, as well as payment terms. These are closely related to your landing cost calculation and risk assessment. You can consult an import management company and a freight forwarder for detail break-down on the costs and risks.
Do homework on compliance issues. Besides US Customs and Border Protection, other government authorities like USDA, FDA, DOT, and ATF also regulate the importation. Pay particular attention when you import textile products from China. Go to the websites of these agencies to understand, register or download the forms. Compliance issues can be very complicated for some products. It is highly recommended to consult a good Customs House Broker before placing any order.
Select a forwarder and Customs House broker,it will provide service when your goods arrive at destination seaport,you can consult them about the cost,such as,duty,VAT,shipping from destination seaport to your door.You will have a general idea about all the cost from China supplier to your door. Go to your local international trade organization/association and Customs office to find the list. Visit them, and select the one you like. For the first time importer, use more individualized services, because you need more attention than you would expect.
A Letter of Credit is commonly used in trade with China. Go to your bank to get detail formality and cost.Supplier may also prefer to TT(30% deposit,the balance against faxed B/L)
December 9, 2009 - Posted by julixu - 0 Comments
If you want to import product from China,there are several ways to find supplier resource:attending the show(Canton Fair,Hongkong Fair),using internet to search,using referral.
Internet is the easiest way to start with.It will turns out to be many suppliers,select a few potential suppliers to communicate with. Narrow down the ones that you really want to work with. Discuss the price and trade relationship.Gather all necessary information to prepare for placing a trial order.
The supplier can be manufacturer or 3rd party supplier.Manufacturers may have a faster response in the process of product development, while 3rd-party suppliers have broader channels that can satisfy your other needs in the future.
The supplier can be small and big factory.Big factory usually quality control more strictly,anyhow,they are not interested in small order.Small factory is flexible,but you need to check it to ensure it meet your requirement.
Before placing order,it is better to visit the factory and have a look.It will go more smoothly if you hire an agent to inspect the goods before shipment to ensure all is going well.
It takes much time energy,also money to find good supplier,but it worth it.