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FAQs                                   (Download Link at Bottom of Page)

Q: Why Source Products from China?

Well, there are several reasons you should consider sourcing your products or services from China. Here are the main reasons:

Why sit back and watch the giants of industry reap the benefits of China trade?

Everyone from Wal-Mart to Apple have been making excellent use of China and its productive labour force and business-friendly atmosphere.

Additionally, many of the more clued-up and savvy small to medium business out on your streets have also taken advantage of the offers China has to make; so, why not you too?

 

Q: What products or industries are the best candidates for me in the Chinese market?

There are five main criteria to consider:

Firstly, quantity:

Volume is the name of the game in China; so, the first question will be, “How much of it will you be needing?

In general, outsourcing only makes sense when the order size is at least equal to a transport container; with a minimum order value of at least $5,000 USD. Anything below that and transport and management overheads tend to be somewhat prohibitive to profits.

Secondly, labour intensity:

Basically, the more labour intensive the product, the more you can save.

Thirdly, electronic components:

It’s a known fact that 70% of the world's electronics are now made in Asia. And in the case of China - due to its extremely rich cluster of suppliers of electronic components any and all of your needs can be satisfied readily and cheaply.

If you’re currently producing a product that is chocker-block with branded western components, you can save a huge amount by using the excellent quality Chinese equivalents.

Fourthly, tooling intensity:

Of course due to the cheap cost of skilled labour, due to the relative difference in living standards, you can save you a significant amount of money on tooling in China.

So, if you’re only tooling something like 2,000 – 3,000 units per year, you may find your costs can drop significantly.

Fifthly, if you’re a merchant:

Absolutely anything and everything you can think of. 

 

Q: Why should I choose Your China Trading Partner sourcing services?

An inexperienced overseas company may believe that going directly to a Chinese manufacturer would necessarily result in a lower price than that which they could achieve in working together with us as their sourcing partner.

If that was true, then I’d be a fool to try to set-up such a business; and you would have heard a lot of wonderful stories from your business partners and colleagues, or have read them in business journals and magazines.

But you haven’t - have you?

Because this is not Europe or the US – this is like another planet.

When it comes to cultural differences, it just doesn’t get any more different than China!

Firstly, there is the immense language barrier impediment.

That Chinese company representative may have his foreign language challenged boss convinced that he can speak English; but, he won’t convince you.

You will discover the new language of Chinglish!

Joking aside, there are problems with general understanding and idea transference, when it comes down to things like material names and technical concepts etc. These issues have to be dealt with seriously and effectively to avoid loss of time and money.

Your China Trading Partner can easily assist you in these areas, ensuring complete understanding of your specifications.

Secondly, the time difference makes for its’ own problems. The time difference between China, Europe and the US is significant; and vital manufacturing, or order queries, general and specific questions and concerns, are handled quickly by us, HERE, on your behalf.

No! We don’t work 24 hours per day. But, we do work until we complete our assignments; whereas, overseas companies, on the other hand, working directly with Chinese firms, and without a China representative, will often find their questions delayed by at least twenty-four hours.

Thirdly, finding the right factory at the lowest price is no walk in the park for the uninitiated. Unlike Europe and other countries, China has no reliable Thompson or Red Box Directory.

It doesn’t even have a Yellow Pages; I have been here seven years and still haven’t seen a telephone book - of any kind! Yes, they do exist, but finding one openly available is another matter.

It has been suggested, by many, that finding a factory in China to make one’s custom product is often both a time-wasting and futile endeavour. Even when once you think you've found the perfect manufacturing source for your particular product, you'll more than likely need to visit the factory at least several times to confirm their technical capability, capacity, monitor sample production, and finally quality inspect the finished product itself.

Of course, the resultant expense in both time and money is often prohibitive for the average small to medium sized foreign company.

We, on the other hand, can work with the factory as your representative, working to your specified standards and protocols, look out for any potential problems, and find a solution to them on site.

Fourthly, there is legal responsibility and accountability. We can hire local legal consultants who will ensure that you don’t fall down a big hole and disappear up your own private passage.

There are, in China, a confusing array of laws (which don’t seem to make sense to anyone, except the initiated), customs, regional policies, and regulations which will intimidate all but the most knowledgeable experts in Chinese corporate law. And we aren’t experts. But we do know where to find them. You don’t!

That’s why you need the power of “Guanxi” (relationships) to get anywhere, or anything done here.

No Guanxi means you are on your own, and let the buyer beware.

 

Q: What savings can be expected?

When compared and contrasted with the cost of manufactory in the US and Europe, savings of between 20-50% of total cost can reasonably be expected.

Savings in China manufactory result mostly from lower labour and raw materials costs.

 

Q: Will using Your China Trading Partner add cost?

Yes, of course it will! We like eating in restaurants and driving fast cars too.

Seriously though - in essence, we compose between 3-12% of the total cost incurred to you in China. Of course it all depends on the volume of the deal being done.

But the prime reason clients choose to work through us, is that we help you save on your total costs. And that’s nice, isn’t it?

 

Q: How do I get started?

For those wishing to have goods produced in China, make sure you have a good handle on the complete cost of the item to be quoted. Remember to add in shipping & handling costs if the product is currently outsourced, or consult an accurate time-study report if the piece is produced in-house.

Forward your specifications, blue prints etc., along with samples to us by mail, fax or e-mail. Extremely complex blueprints and/or poor quality originals should be mailed rather than faxed.

Include your annual usage, present product pricing, and target price. The more accurate your information, the better armed we are to negotiate the lowest price possible.

Remember we're working directly for you as your company representative overseas, and hope to do so for a long time to come. Our price quotations are designed to foster long-term relationships with each and every one of our customer-partners.

Finally, contact us or send an Information Request to get started right away.

 

Q: How long does it take to get a quote?

We will provide a free-of-charge preliminary quote within 2 weeks. You can request a formal report of multiple quotes from multiple manufacturers, together with their background information and our in-depth analysis of the company. It may take up to 4 weeks to get a quote after we receive the drawings and/or samples of your products. It usually takes us 3-5 weeks in total. Also check out our pricing for this service.

 

Q: How does the shipping work?

We usually quote your product FOB, and we’ll take care of everything in China for you. You will need to arrange having the shipment delivered from the Chinese FOB port to your door. Usually a transportation company and/or a customs broker will do the job for you.

Customs brokers are easily found in the yellow pages and on the internet.

 

Q: What is China's Time Zone?

All of China observes Beijing Time, which is GMT+8.

 

Q: What are China’s Business Hours?

Government:

08:00-12:00 & 13:30-17:30, from Monday to Friday, Saturday and Sunday off.

State Owned Enterprises:

08:30-12:30 & 14:00-18:00, from Monday to Saturday.

Shops:

10:00-22:00 daily, except some private shops which have days off during stated published holidays.

 

Q: What are the major state festivals and holidays in China?

1.   Spring Festival: (Chinese New Year) - One week to ten days, usually between the end of January to the beginning of February.  

2.   International Labour Day: One week long, starting from 30th April to 6th May.

3.   National Day: 01 - 8th October.

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