Import from China: A Comprehensive 10,000 Word Guide

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Import from China: A Comprehensive 10,000 Word Guide

If you’ve ever wondered:

“How do I find profitable products to import from China and sell locally?”

“Where and How do I find target products to be imported from China?”

“How to cooperate with Chinese Suppliers?”

“How to analyze the costs during importing from China?”

“How to obtain your shipment timely and safely?”

It’s a comprehensive guide that will show you EXACTLY how to import a profitable product from China for your international import business. By reading this 10,000-word guide, you will be able to figure out what you need to do in order to avoid frustration associated with the import process.

Product Research & Selection Tactics When Import from China

First of all, you need to gain a clear understanding on what products you should import from China. If you import the right products, you will be able to end up with amazing profits. Unfortunately, importing incorrect products can make your business go down the line. It is especially important to use some tricks of product research and selection tactics when you consider things to buy in china. Build and research your own list of best items to import, then select a feasible solution and put it into action during your importing business.

3 Effective Strategies to Get Product Ideas When Import Products from China

Jump into The Shoes of Your Customers

Import from China: Jump into The Shoes of Your Customers
Grillight Bright Spatula

To begin the product research, it is important to jump into the shoes of customers. People tend to get the assistance of a product, when they come across a problem or when they want to get something done with minimum hassle. Therefore, you need to conduct a proper research on the common problems faced by people. Then you can think about importing a product that can assist people to overcome the problems that they have. This method of importing products is in a position to deliver positive results to you at the end of the day. That’s because you are importing a product in demand and you don’t have to go through a lot of hassle to make sales.

In addition to the above-mentioned fact, it is also possible to look for the products that people live for. That’s where the passions of people come into play. When people are interested in something, they tend to go ahead and spend their money to purchase that product. Hence, you can keep an eye on such products and go for the ones in demand.

The interests of people also drive them to take purchase decisions. Therefore, you can take that into consideration when determining what to import from China. For example, if you notice that people are interested in grilling, you can import grilling machine from China. On the other hand, the hobbies of people can also tempt them to go ahead and make purchases. Hence, you need to take a look at the hobbies of people, such as running, painting, cooking and cross fit to make purchase decisions. If you notice that the people in your area are interested in camping, you can import camping gears from China. Likewise, people who are interested in hiking tend to purchase hiking accessories.

If you can provide a product that is high in demand, you will be able to receive advantage over your competitors. That’s because you will be able to sell more products within a short period of time. Hence, it is possible to make profits in the long run as well.

Keep An Eye on Your Competitors

It is also possible to spy on the competitors when searching for products to sell. This can give life to a lot of ethical issues. In order to make sure that ethical issues don’t arise, this should only be done for inspirational purposes. This method has been able to deliver impressive results for most of the trade businesses that are located out there in the world.

When keeping an eye on the competitors, some traders will be tempted to go ahead and copy the products. Copying products should not be done blindly. Instead, it is important to take a look at few important points when copying the products. It can deliver effective results to your trade business in the long run.

If you blindly copy the products offered by your competitors, you will be at least 6 to 12 months behind the competition. This can keep you away from getting the best possible results out of products you sell. On the other hand, you don’t have a clear understanding on what products are successful and what are not successful. When you visit the online store of one of your competitors, you will be able to find both successful products as well as unsuccessful products. But you don’t see what products are selling and what are not selling. On the other hand, blindly copying products is not ethical and it can never be recommended.

Spying on the competitors should be done in an intelligent way. For instance, it is possible to see what products are being advertised by the competitors on their PPC campaigns. They will be the best-selling products. On the other hand, you can take a look at the sponsored products that your competitor promotes on Amazon. If your competitors are organizing giveaway campaigns, you need to keep in mind that the best-selling products are selected for these giveaway campaigns. These methods can provide you with the much-needed inspiration on what to import from China.

Ask for Recommendations from The Suppliers

It is also possible to ask for recommendations from the suppliers of products. The suppliers can provide you with better insights on what products are selling well and what are not. You just need to consult the suppliers and you will be provided with the recommendation at the end of the day. Hence, it can be defined as a convenient and a straightforward method available to determine what products you are going to sell.

How to Drill Down Your Research to The Perfect Product

After going through the above-mentioned facts, you will be able to create a comprehensive list of products could be imported from China. They include everything from electronics, handbags, shoes, clothes and stationary. You are creating that list based on the market requirements. However, you will not be able to sell all those products and make profits. Therefore, you should have the ability to select the best products out of that list, which matches perfectly well with your preferences.

5 Tips to Drill Down Your Research to Find Best Products

Get to Know about Your Niche

First of all, you need to have a clear understanding about your niche. This will provide an excellent assistance to you with finding the best product to import from China. In here, you need to look for a product that you are familiar with. If you select a product that you are not familiar with, you will have to go through the hassle of figuring it out as well. This can make you miss out quality inspections in the long run. As a result, you will sell low quality products to your customers, which can make them disappointed. Hence, you will not be able to ensure 100% customer satisfaction and maintain a solid customer base.

If you find it as a difficult task to drill down to the perfect niche, you can take a look at your hobbies. For example, if your hobby is to capture photos and if you can find cameras in your list of products to be imported, you can go for it without keeping any doubt on mind. Then it is possible to engage with something that you love to do as well.

Go for A Niche with Less Competition

It is not a wise idea to move forward with a niche that has a high competition. If you do, you will be wasting your time as well as effort. That’s because plenty of suppliers are available to offer the product you got. In such a situation, you will not be able to end up making profits. That’s why it is extremely important to select a product with less competition to be imported from China.

When doing a market analysis to determine the competition, you will realize that the products, where major retailers don’t operate are associated with lesser competition. Hence, you should take necessary steps to import such products from China.

Select A Product with A Retail Value of over $10

It is recommended for you to select a product with a retail value of over $10 and import from China. If you are planning to start your trade business, this will be one of the most useful tips available to consider. This is the ideal product value that you need to consider at the beginning, in order to make sure that you don’t end up with losses. When you get more experience, you can go for products that have a higher value.

Go for A Product with A Lower Risk

There is a risk factor associated with each and every product. You need to have a clear understanding about the risk factor associated with each and every product. Then you will be able to purchase the product that comes with the lowest risk. Mattresses and dining room furniture are perfect examples for products that are associated with a lower risk.

Choose Products That Are Smaller in Size

It is important for you to purchase products that are smaller in size from the market as well. The size of the products should be lower than 18 inches. When you are starting your trade business, you have a tight budget. You are not in a position to spend a considerable amount of money on the products as the investment. In such a situation, it is better to reduce the operational expenses as much as possible. That’s why you are encouraged to go for products that are smaller in size. This can help you to cut down the massive shipping expenses. As a result, you will be able to improve the return that you get out of your investment. However, you should also keep in mind that the products you get must be associated with a high value.

What Are The Requirements for Profitable Products?

From the recent studies, it has been identified that the profitable products are linked to specific requirements. Therefore, you need to keep an eye on those requirements as well. If you do, there is a high possibility for you to end up importing profitable products from China.

Profitable Products Are Light in Weight

First of all, you should keep in mind that the profitable products you can purchase from the market are light in weight. That’s because you will be able to save a considerable amount of money from the shipping expenses. In other words, the lightweight products can help you to minimize the expenses that you bear. Hence, an ideal opportunity is available for you to maximize the profits.

Profitable Products Are Simple

Another important characteristic associated with profitable products is their simplicity. Due to the simple nature of the products, you are provided with low margin for error. In other words, you will not do many mistakes when you are dealing with a simple product. That’s the main reason why some of the retailers don’t prefer to work with electronic products. Even a small defect that can arise in an electronic component can make the entire product worthless. Hence, you are encouraged to go for simple products whenever possible.

Profitable Products Are Priced in Between $10 and $200

Last but not least, it is important to keep in mind that the profitable products are priced in between $10 and $200. You should not go for products priced under that margin or above that margin. These products are known as middle class products. However, they are in a position to generate amazing returns in the long run.

Validate Your Product Idea

Before you start the import process, it is good to validate the product idea you have as well. During the validation process, you determine whether the specific product is worth to be imported or not. You will have to pay attention towards few important factors when you are validating the product idea. Here is a list of some of the most prominent factors that you need to consider out of them.

Risks and Compliances

First of all, it is important to take a look at the risks and compliances associated with importing a product. Some of the risks and compliances that you need to take a look at include approvals, permits, standards and regulations.

Product Development Expenses

Next, you need to focus on the product development expenses. If you get products form a supplier that doesn’t have the right skills, you will not be able to get what you want at the best price tag. In such a situation, you will not be able to keep profits out of what you sell as well. Therefore, you should never ignore the importance of product development expenses.

Minimum Order Quantities

When you are importing something from China, you need to take a look at the minimum quantity of the product you import. Generally, the Chinese suppliers are in a position to provide thousands of orders to the local market. Therefore, you need to be concerned about the minimum order quantity as well. As a general rule, it is important to keep in mind that the minimum import quantity should be up to 500. Then you can increase the minimum quantity. But if the minimum quantity is lesser than 500, you will not be able to receive the optimum profit.

Where and How to Find Products to Be Imported

Several channels are available for you to look for the products to be imported from China. Here is a list of some of the most prominent channels out of them. Any person who prefers to import from China can take a look at these channels because they are open for everyone.

Internet

Out of all available channels, internet can be considered as the most popular and the most widely used channel. A lot of people prefer to seek the assistance of the internet in order to look for the products and to look for the suppliers. The convenience associated with using the internet has contributed a lot towards its popularity. People can easily get connected to the internet and do their research while staying at home or while traveling. No matter what the reason is, you will be able to end up with positive results within a short period of time. That’s because almost all the suppliers have advertised their products on the internet along with the products that they offer. Hence, you will get the opportunity to look for the perfect product from the right supplier. As a ground rule, you will have to compare the prices of items that you can see on different platforms. Then you will be able to end up with the best possible deal out of what you can find. Once you discover the best possible deal, you can simply go ahead with your deal and you will become lucky enough to end up with a higher profit margin. The drawbacks associated with this method are extremely low. You just need to be careful to take a look at the reputation of suppliers, so that you can avoid getting caught to scam artists.

Exhibitions

Attending exhibitions can be considered as another effective method available for you to look for potential suppliers and products. That’s because the suppliers tend to come to the exhibitions along with the products that they offer. Hence, you just need to look around and search for the ideal product available for you to import from the right supplier. This is another simple and a convenient process available for you to try out. The cons associated with this method is that you will have to look for the exhibitions and travel. You can also take a look at the exhibitions. The exhibitions will provide you with different options that you can consider. In here, you need to be careful to look at the appropriate exhibitions, so that you will be able to get the most out of time you spend. This will make you waste a lot of precious time travelling. On the other hand, you will not be able to find exhibitions happening throughout the year. They are organized during specific time periods of the year and you will have to wait until that. This can lag your process.

Finding A Sourcing Agent

If you don’t have any time at all to be spent on looking for a supplier or selecting a product, finding a sourcing agent is the best option available for you to try out. It can provide you with the opportunity to avoid the frustration associated with searching for products you want. That’s because the sourcing agent will get the job done on behalf of you. It won’t take too much of time for you to look for a sourcing agent as well. You just need to take a look at some of the popular freelancing platforms on the internet, such as Upwork and Fiverr. They offer the best sourcing agents to you. The only drawback associated with this is that you need to be careful to look for a sourcing agent who is familiar with your niche. Otherwise, you will end up getting the incorrect products from the incorrect supplier.

Out of these three sourcing channels, Internet can be considered as the best and the most convenient channel available for the people to consider when they are looking for products and suppliers to import goods from China. Even though other two methods can deliver positive results, they are linked with some drawbacks. But if you feel that one out of the above two methods can cater your preferences, you can go ahead with it. In summary, Internet is the best channel to do your research.

Identify The Items That You Are Going to Sell

As the next step, you need to go ahead and figure out the goods that you are planning to import. Your company will be able to make profits by selling products you import from China. If you choose the incorrect products, you will not be able to make profits at the end of the day. Hence, it is extremely important for you to go ahead with the right products. It can define the success that your business will be able to experience at the end of the day.

Before you import anything from China, you need to do a research and gather information as much as possible. When you have a good understanding, you will be able to make the right decisions. You can contact the suppliers and ask for descriptive literature of the products. In addition, you need to ask for all possible information about the products, including the product composition. If there is a possibility, you need to order few samples as well.

The information you request from the supplier are extremely important because you finalize tariff classification based on it. In other words, the tariff clarification number will be used to come across the duty rate that you will have to pay for the goods when importing.

You will not be able to import some of the items to your country. Hence, you need to be aware of these restrictions as well. If you cannot import a specific product, there’s no point in spending your time and money to conduct research on it. You will not be able to import it anyhow. Therefore, you need to give special attention towards determining whether you have the ability to import a specific product into your country or not.

If the products you import do not meet health code requirements or if they are unsafe, there must be regulations for importing. Hence, you need to be aware of searching for all applicable regulations. If you ignore these rules and import the products, you will have to spend additional money on penalties and fines as well. On the other hand, you will not be able to gain access to the products you import. They will either be destroyed or detained.

Analyze The Landed Cost

You will be able to classify the products based on the 10 digit tariff classification number. You will be able to find a tariff classification number assigned for each and every item that you are planning to import. In addition to these numbers, you will also need to have the Certificate of Origin to determine the total duty that you will have to pay. When you have all these figures, you will find it as an easy task to go ahead and calculate the total import cost.

There are three steps you need to follow when you are calculating the total landed cost. Those three steps include:

Step 1: Getting the price from your supplier.
Step 2: Getting the shipment chargers from the freight forwarding company.
Step 3: Determining the duties, taxes, custom clearance chargers and the transportation charges.

You need to follow these three steps considering all the products you import. Then you will be able to determine an accurate figure of the total landing cost. Hence, you will be able to determine whether you can make any profits by importing that product or not.

What Are The Different Shipping Methods Available for You to Consider?

Air Shipping

Air shipping can be considered as the most prominent method followed by traders when they are importing goods from China. This can be considered as a quick method available for you to get the products you want. All the items that you import via air shipping will be subjected to custom expenses. You will have to pay custom duties based on those expenses.

It is possible for you to find several service providers, who offer air shipping services. Out of those service provides, UPS, DHL and FedEx have received a lot of attention. They have the capacity to handle any kind of product and deliver it to the destination within a short period of time. In addition to the above-mentioned air shipping companies, you will be able to find many other shipping services based on China. You can take a look around and figure out the best service provider available for you to consider out of them.

Sea Shipping

Sea shipping is the next best alternative available for air shipping. However, people will have to obtain a permit or a license when they are using the sea shipping methods. For example, all the US Citizens will need to obtain a permit when they use sea shipping services. This regulation has been implemented by the United States Custom and Border Protection authority. When you are obtaining the permit, you will have to provide your registered business number and many other useful information. In addition, you will also have to go ahead and obtain required licenses from state or local authorities, if you are planning to import specific items such as toys, prescription medications, dairy products, animal products, plant based products and food products from China.

You will be able to classify the products based on the 10 digit tariff classification number. It is possible to find a tariff classification number assigned for each and every item that you are planning to import. It will take around 25 to 30 days when you are importing a parcel from China to the East Coast of United States. But if you are importing to the West Coast of United States, you will have to wait for about 15 to 18 days. However, these are estimated figures and the real waiting times can vary based on multiple factors. In addition to these waiting times, additional weeks will be required for internal delivery of the parcels within the country. If you cannot wait for such long durations of time, you will have to think about air shipping.

Custom Duties That You Will Have to Pay

As you already know, you will have to pay custom duties when you are importing products from China. It is better to be aware about the custom duties. Then you will be able to calculate the total landing cost on your own based on the type of product you import. As a result, you can get a better understanding about the profitability of the product that you are willing to bring down all the way from China.

Duties

Duty can be classified as another tax. They are usually linked with the customs. The duties will be levied at states under some circumstances.

As per the current regulations, products imported from most of the countries are subjected to duties. They are subjected to the duties under normal trade relation rates. However, this would change based on the countries that don’t have normal trade relations. Moreover, products that are imported from some of the countries are not subjected to any duties at all. China is considered as a most favored country by United States. As a result, duties are applicable when importing products from China.

The calculation of duties is a simpler process than you think. If you are good with basic mathematical calculations, you will not find it as a difficult task to calculate the total duty that you have to pay when you are importing goods from China.

If you are importing any product that is not manufactured within your country, you will be subjected to relatively lower duty rates. Duties will be levied for some of the products. But if the products you import from China are manufactured in your country, you will have to get ready to pay higher duties.

Taxes

Apart from duties, you will need to be aware about the taxes that you have to pay when importing goods from China. Many different taxes are applicable for the products you import. Value Added Tax, which is also known as VAT holds a prominent place out of them. If you take a look at VAT from the point of view of a buyer, you will notice that it is an additional payment that you will have to make on the price. But if you take a look at it from the viewpoint of a seller, you will realize that it is an amount added based on the value of the product.

If you are an importer based in United States, you will not have to pay any VAT.

Goods and Services Tax, which is also known as GST is the other common tax that you will have to bear when importing goods from China. However, it is important to keep in mind that GST is levied on most of the products that are imported. Hence, you need to double check whether you have to pay GST based on the type of product that you import.

How do you have to pay duties?

As an importer, you should have a clear understanding on how to pay the custom duties as well. The method you have to pay duties change based on the exact method you follow in order to import goods from China. If the products are shipping via China Post, EMS, or Hong Kong post, you will have to contact the mail carrier to pay the duty. In order to do that, you will have to visit the local post office.

If you got the assistance of a third party shipping company, such as FedEx, TNT, UPS and DHL for shipping, you will have to make the payment directly to the courier. You don’t need to do anything because the service provider will do all calculations and provide you with the bill. You just have to make the payment to the service provider.

There is a somewhat complicated process that you have to follow when you are making duty payments for the goods that are imported via sea fright or air fright. If you don’t seek the assistance of a carrier to get the products delivered to your doorstep, you will need to visit the office of the customs and make the duty payment. Or else, you are provided with the ability to make the payment at the airport or the port where your goods arrived. But you can also get the help of a broker to pay the custom duties and get the products delivered to your doorstep. In such a situation, you will be making the payment to the broker, along with the service fee.

If you took necessary arrangements to send the products directly forwarded to you, you will receive the duty amount you owe as a bill. Hence, you will have to make the payment to the broker who is handling the case.

Sourcing The Items That Import from China

Now you have a good understanding about the items that you are planning to import. Hence, you need to get in touch with the suppliers and maintain communications. Since you already know what you are going to buy, this will be a convenient process.

Common Knowledge When Import from China

Shipping Terms

Import from China: Shipping Terms

FOB – Free on Board Under this terms the exporter takes care of all costs and risks up to the point of the goods are loaded on board the ship.The buyer pays the cost of marine freight transport, insurance, unloading, and transportation from the arrival port to the final destination.

CIF – Cost, Insurance & Freight Seller arranges and pays for transport and insurance to named port, delivers goods, cleared for export, loaded on board the vessel.Risk transfers from seller to buyer once the goods have been loaded on board.

EXW – Ex Works This rule places minimum responsibility on the seller, who merely has to make the goods available, suitably packaged, at the specified place, usually the seller’s factory or depot.

Other Terms

B/L – Bill of Landing is a document issued by a carrier (or his agent) to acknowledge receipt of cargo for shipment.

A bill of landing contains:

  • Consignor’s and consignee’s names
  • Ports of departure/arrival
  • Vessal name
  • Dates of departure/arrival
  • List of goods being transported
  • Packaging details
  • Weight, volume and cost of freight

ETA and ETD Estimated Time of Arrival (ETA) refer to the time and date that a ship will arrive at a particular port. Estimated Time of Departure (ETD) refer to data and time at which an air or ship journey is expected to depart from a named city or port.

FCL and LCL FCL (Full Container Load) and LCL (Less Container Load).

Important Tips to Keep in Mind When Purchasing Products

There are few important tips that you need to keep in mind when you are purchasing products from a supplier in China. Here are some of the most prominent tips out of them. These tips are in a position to assist you with minimizing the mistakes you do during the import process.

  • Don’t assume anything
    First of all, you need to keep in mind that you should never assume anything while you are importing a product from China. If you assume something, there is a high possibility for you to end up with frustration because the product you get will not match with what you had in mind. For example, the prices available in the website of the vendor might not be up to date. Therefore, it is a good idea to double check with the seller before you purchase.
  • Build a relationship with your sellers
    It is better if you can build up a relationship along with your sellers. You need to be friendly when communicating and it can provide an excellent assistance for you to build up a relationship. Most of the sellers are friendly and you will be able to build up a relationship in an effective manner.
  • Try to be specific as much as possible
    When you are ordering from a seller, you need to be specific as much as possible. This will help you to make sure that you get the right product shipped. You should never provide any vague answers to the questions asked by your vendors. It is a must to be specific with the color, size, materials and products. If you do that, you will be able to get the same product delivered to your doorstep as well.
  • Be careful with the payment
    Normally china suppliers accept a deposit payment in between 20% to 30%. The remaining payment will need to be paid against the balance outstanding invoice. PayPal is not being accepted as a payment method because it will hold the money in the account of the supplier for a period of time, especially when the products are associated with patent issues. Most importantly, suppliers who come from China are not in apposition to check the patent for each and every product that they own. As a result, you are never encouraged to make a PayPal payment when ordering a product from a Chinese supplier.
  • Ask for samples
    Before you place an order for a product, it is a good idea to request for samples. Most of the sellers are looking forward to send samples for the people who are interested. If you want to test the product on your own, before you order it in mass scale, you can go ahead and request for samples. This is another effective method available for you to avoid frustration in the long run.

Develop A Minimum Viable Product

Before you import, it will be a good idea to come up with a minimum viable product as well. A minimum viable product can simple be defined as a market ready prototype. You are in a critical stage and you should focus more on the MVP as a result of it.

The supplier will have to come up with the prototype. But if you can provide a better understanding of how the prototype should look like, you will be able to end up with impressive results. If you want to minimize the time that you spend in designing the product and if you want to get it to the market within the shortest possible time, you must go ahead with the concept of minimum viable product.

After you import the product from China, you will have to compete with major retailers. Hence, you need to enter the competition with a solid approach. That’s where a MVP can assist you with. The MVP can provide an excellent assistance for you to create your own unique footprint in the market. As a result, you can quickly go for the perfect product and get it positioned on the market, instead of waiting for a long period of time.

Testing Your Samples

After you get in touch with the suppliers, you will be provided with requested samples. As the next step, you need to test the samples you receive. You will be able to get to know about a lot of useful information when you are testing out the samples.

After you get the sample to your hands, you need to get into the shoes of one of your customers. Then you can interact with the product and determine whether it can cater all your requirements or not. If using the product brings too much of pain, you need to keep in mind that you are not dealing with the perfect product. The product you use should deliver an effortless and a smooth experience to you. Therefore, you should never ignore the testing process as well. Without testing, you will fail to determine whether you can send the perfect product to the market or not.

How to Hack MOQs

When you get in touch with your supplier, you will be asked how many pieces of the product you are looking forward to order. You need to be accurate and precise about the figure that you mention in here. The figure you mention might be uncomfortable for some of the suppliers. Therefore, you need to come up with an appropriate email, which can assist you to convey how much pieces of the product you want, without hurting the supplier.

In the mail you draft, you can state how you are going to use the product. Then you should specify the number of pieces you want and justify it. Then you can give a promising future as well. For example, you can tell that you are looking forward to sell 1,000 units in the future, if your customers are satisfied. This can help you to create a feeling of assurance to the suppliers. When you create such a feeling, you will find it as an easy task to get the amount you specify in the order, without experiencing any difficulties.

Copyright And Patent Issues That You Might Come across When Importing Goods

In some of the instances, you will have to face copyright and patent issues when you are importing goods from China. Therefore, it is important to be aware of these issues as well. Then you will be able to act beforehand and make sure that you don’t become a victim of the issues.

If you can keep your hands away from branded items as much as possible, you will get the opportunity to overcome the frustration linked with copyrights. Therefore, you need to see whether the products you are willing to import come along with any branding elements. The branding elements include movie characters, company logos and Disney characters. When there are patents, you will have to deal with even more hassle.

You should keep in mind that China doesn’t breach any of the registered patents. Therefore, you need to get in touch with your supplier and make sure that you don’t come across any patent related issues when you are ordering goods from China. This will help you to keep peace of mind in the long run as well.

Place An Order with Chinese Supplier

Make The Commitment to Import Your Order

Once everything is fine, you can make the commitment to place your order. When you are committing, it is possible to go forward with the negotiations as well. You can send the negotiation agreement in an official method, via the email. It is better if you can try to establish a strong working relationship through the email you sent as well. This can help you to make the entire process a smooth one.

Shipping The Products from China

Now we come to one of the most crucial stages, which is about shipping your orders from China. But before you ship, you need to get a proper inspection done. This will assist you to avoid the frustration linked with recalls. Once the quality of the products is assured, you will be able to proceed with the shipment.

You are aware about the different methods that you have to follow in order to make the shipment. Therefore, you just need to go for the most appropriate method based on your preferences. In here, you need to determine whether your shipment is a Less than Container Load (LCL) or Full Container Load (FCL). If you are a small business owner, LCL can be expensive to you. Therefore, you need to look for the most effective methods to minimize your expenses.

How to Make Your Payment for A Bulk Order?

Making the payment for a bulk order can be quite tricky. Therefore, it is a good idea to be aware about the different payment methods and what’s the best method available out of them to be considered. Here are some of the most prominent methods available to make a payment for your product.

  • Telegraphic Transfer
    This is kind of a bank transfer. Through this method, you are transferring money to the bank account of another country.
  • Letter of Credit
    The letter of credit should be obtained from the bank. It will guarantee the payment from the buyer to the supplier in a timely manner.
  • Documents against Acceptance
    This is kind of an arrangement. Through this method, the supplier will instruct the bank to release a specific shipment against signed documents.
  • Documents against Payments
    In this arrangement method, the supplier will instruct the bank to release a shipment based on the title letters.
  • Open Account
    This is a payment that is being made against one or more outstanding invoices.

Signing A Firm Sales Contract with The Supplier in China

It is essential to sign a firm sales contract when importing goods from China. At this stage, the product you are going to order and the supplier you are going to place the order is confirmed. As a result, you will have to go for a firm sales contract. Then the supplier and you come to a common agreement in the import of goods. The contract can provide you with peace of mind in the long run as well.

When coming up with the sales contract, you need to list down all the features and characteristics of the product you import. You should not leave any spaces for possible alternations to be made. For example, if you only want the product to be delivered in a certain color, you should be specific about it. Then you will be able to make sure that the same product you have in your mind is being delivered to your doorstep at the end of the day.

The important aspects and characteristics that you must include in your sales contract include customization, logos, labeling, chemical treatments, textures, materials, printing, color, packaging, dimensions, weight, technical features and all other aspects that you can think about. If you can be more specific, you will be able to minimize the surprises that you get.

Pre-shipment Inspection

Before the shipment, it is extremely important to do a proper inspection of the products. This inspection will assist you to get a better understanding whether you are going to receive the best quality products to your hand at the end of the day or not.

Arranging 3rd-party Inspections to Make Sure The Goods Are As Ordered

Import from China: 3rd-party Pre-shipment Inspection

AsiaInspection (image source)

Since you cannot visit China for the inspection, you will need to get the assistance of a third-party company for the inspection. The below mentioned tips will provide an excellent assistance for you to end up with positive results during the third-party inspection.

State Product Requirements And Expectations

First of all, you need to clearly explain all the product requirements and expectations to the supplier. This will assist the supplier to make sure that no mistake is caused from their end. In fact, this needs to be done at the time of placing your order, so that you can avoid inconveniences.

When there is a legal entity associated with the supplier, you will be able to make sure that the supplier is accountable for the quality of products. Therefore, you can get in touch with a legal attorney, who can compile the contract. Once you have the contract, you are provided with legal assistance, in case if anything goes out of your control.

Conducting The Product Inspection

To make sure that you get the best possible results with the third party inspection, you will need to consult a third party service provider. The service provider you selected will visit the factory and inspect the goods on behalf of you. You can request to check all the aspects of the products that you are planning to import, such as the weight, color and dimensions. This inspection must be done before the packaging process.

You will have to spend a considerable amount of money on this inspection as well. But still you can control the scope of the inspection, so that you will be able to get the best possible results for the amount that you can afford.

If there are any issues, you need to get in touch with the supplier and inform them directly. That’s where effective communications with the supplier comes into play. Once you get in touch with the supplier, you will be provided with information on how to factory will go ahead and fix the problem. Then you need to provide room for that.

In case if the factory is not willing to fix the defects, you are provided with the ability to charge your supplier. That’s because you will not be able to make any profits by importing products with defects and selling to your customers. But if the defects are fixed, you can do a re-inspection. Once everything is in perfect condition, you will be able to proceed with the shipment.

Cargo transport

Now you have come to the final stage of obtaining the shipment, which is about cargo transport. All you need to do is to get in touch with your supplier and arrange the cargo to be delivered to the address. However, there are few important tips that you need to keep in mind to avoid hassle during this phase.

Arranging Your Cargo

First of all, you need to take a look at arranging your cargo to be imported. This process is associated with a variety of expenses. Broker fees, terminal handling, packaging and container fees are some of the expenses that you have to pay. Therefore, you are highly encouraged to go ahead and obtain a quote by taking these expenses into consideration. This will assist you to avoid surprises when you get the invoice.

If you are comfortable with the invoice, you need to send the contact details of the supplier to the freight forwarding company. Or else, the supplier will directly arrange the shipment. But before that, you need to make sure that your shipment is safe and quick.

When you are engaged with the cargo import, you should always keep in mind that delays can happen. This can take place due to a variety of reasons. For example, the factory will put out the products late or the shipment will get late. Or else, the shipment could even be kept in the customs without releasing for a long period of time. Therefore, the chances of getting your shipment on the expected date are highly unpredictable. You need to be ready for this when importing goods.

To avoid hassle, it is a good idea to seek the assistance of a freight forwarding company. The freight forwarding company you select will take care of the responsibility of importing goods. In addition, they are in a position to make sure that you go through the smoothest possible experience. Therefore, you will be able to get rid of the stress that you are dealing with.

How to Save Money on Freight Costs

You have to spend a considerable amount of money on freight expenses. However, you shouldn’t be spending a fortune on that. Plenty of methods are available out there for you to save the money that you spend on freight costs. All you need to do is to be aware of those methods.

The below mentioned tips can provide an excellent assistance for you to save money that you are going to spend on freight costs. When you are engaged in a trade business, every dollar would count. Therefore, you need to look for effective methods on how to save money on shipping as much as possible.

  • Plan Ahead of Time
    If you plan ahead of time, there is a high possibility for you to save money on shipping costs. The last minute shipping expenses are high. You will have to spend a lot of money when you go for a express freight because you need to get the products delivered to your doorstep within a short period of time. Hence, you need to plan well ahead of time and make sure that you save money as much as possible.
  • Avoid The Holidays in China
    In addition, you need to be aware of the holidays in China as well. The Chinese New Year is there for about three weeks. Therefore, you need to avoid this holiday season as much as possible to make sure that you don’t end up spending lots of money on shipping. On the other hand, Chinese national holidays are there from 1st of October to 7th of October. You need to avoid this time period as well.
  • Find The Best Shipping Method
    As mentioned earlier, plenty of shipping methods are available for you to consider. You need to analyze those methods and figure out the best method out of all. The specific method you select has the ability to provide an excellent assistance for you to save money as much as possible.

    Here is a list of some of the best shipping methods that are available for you to send a parcel from China to your country.

    Regular post – This is the regular China post. If you place an order to be delivered via China post, it will take around 6 weeks for the shipment to arrive. It doesn’t provide any online order tracking facilities.
    Courier – Sending the shipment via a courier company is the most recommended and encouraged method to try when importing a shipment from China. FedEx, UPS, DHL and TNT are some perfect examples for courier companies. They are in a position to deliver a shipment obtained from China in just 3 to 5 days.
    Air freight – Air freight can be considered as a hybrid in between sea freight and courier shipping. The time taken for the shipment by this method will vary from one company to another. In general, it will take in between 5 to 10 days.
    Sea freight – This is another popular method available for importing goods from China. Most of the big companies, which go for large shipments, prefer to use this method. Even though the cost is affordable, it can take a long time period for the shipment to be delivered.

Think Whether The Deal Is Worth or Not

We already discussed about the different shipping methods that are available for you to consider when you are bringing down a shipment from China. It is up to you to go for the perfect shipping method out of them, based on your personal preferences and budget. You should also keep in mind that the total landing cost is directly impacted by the shipping cost. But it doesn’t mean that you need to go for the cheapest shipping service. If you go for the cheapest shipping service, you will have to wait for a long period of time to get the products delivered. On the other hand, security of your products will be compromised as well.

You need to discover the perfect balance in between the cost and other factors. Then you can determine the best shipping method available for you to consider.

Once you decide on a shipping method, you will have to determine the shipping management method as well. In here, you need to consider whether you are trying to take care of the controlling process on your own, or whether you are seeking the assistance of a third-party agent.

If you want to take complete control over the shipment, you must get everything controlled internally. However, only few of the biggest groups out there in the world are in a position to go forward with this method. That’s because you will need to have a lot of in-house resources to get work done. For example, you need to get in touch with airlines, shipping lines, trucking companies and book space. In addition, you have to work on custom declarations, both in China as well as in your country. However, the hassle you go through is totally worth because you will be provided with complete control over what you offer. If you are looking forward to import a valuable product from China, this is a great option available to consider as well.

You can also get in touch with a freight forwarding company located in your country. This option has become extremely popular within the smaller companies. The local agents will assist you to get the product delivered to your doorstep. As a result, you will be able to avoid most of the manual work that you have to do, in the process of importing goods from China.

People who are looking forward to experience speed in delivery should go ahead and work with freight forwarding companies based in China. Due to the high demand, a large number of freight forwarding companies are located in China. Selecting the best service provider out of them will not be a pain. As mentioned earlier, the most prominent benefit that can be experienced when working with a freight forwarding company in China is the speed. They take care of all the work in China, including the paperwork. As a result, it is possible to get the shipment delivered within a short period of time.

The time taken for the shipment can further be reduced by working with service providers in both sides. However, this can be an expensive solution available for you to move forward with. That’s because you have to pay for the services delivered by two different parties.

Should you use a freight forwarding company?

Obtaining the assistance of a freight forwarding company is an additional expense. However, the cost comes along with a variety of benefits as well. Here is a list of some of the most prominent benefits that can be experienced by getting in touch with a freight forwarding company.

  • Making the life easy for you – You will be able to overcome the hassle associated with most of the manual work you do by getting the assistance of a freight forwarding company.
  • Ideal for small time importers – Small time importers will be able to receive the best out of service delivered by freight forwarding companies. They can effectively manage all the small orders at a reasonable price tag.
  • Collect and pack the goods in China – If you can select a freight forwarding company that has offices in China, you will be able to get them pack and send the products directly to your doorstep as well.

Tracing Your Cargo

When you are importing goods into the country, it is a good idea to be prepared at all times. Usually, the vendors take care of all the hard work. All you need to do is to provide your shipping information and then wait for a confirmation.

To make sure that you don’t end up with additional delays, you will have to be ready with some the documents needed for the import, before you go for the import. This can provide an excellent assistance for you to release the cargo from customs, whenever it arrives.

When your cargo is shipped, you will be provided with tracking information. You can use the tracking information to get an update about the cargo. In other words, it can assist you to prepare for the shipment. As you already know, it will take a considerable amount of time for the cargo to arrive in your country. On average, it will take between 14 to 30 days. But in the meantime, you are provided with the ability to check the tracking status. In addition, you can go ahead and prepare the other documents needed for you to import the goods. Several issues can arise when you are working on the documents. Therefore, you need to be careful to get them fixed during this time period as well and double check the custom documents and make sure that you are good to accept the shipment from your end.

Obtain Your Shipment

Whenever your cargo comes to the country, you will be informed about it by the customs. Therefore, you will need to get in touch with your service provider to get them released. If you don’t have a service provider for custom clearance, you will have to go to the office of the customs and get it cleared. But if you select a dedicated shipping company such as FedEx or DHL, you will be able to avoid the custom clearance process. You can get the package delivered to your doorstep. All you need to do is to make the payment to the shipping company. Those companies are more involved in the process. You don’t need to do anything and the company will take care of all the matters. You will also be informed with the process as well.

What Should You Do When You Receive The Imported Goods?

When you receive the imported goods, you need to do a proper inspection from your end. In other words, you need to see whether the expected packaging, quality, labels and instructions are available. If everything is in order, you need to send out an email to your supplier and confirm the reception of goods. However, you need to make sure that you only tell you got the products to your hand. You should also mention that you are going to review them in the future. That’s because you will come across issues when you further inspect the products. Even after you sell the products, customers will find defects and they will let you know about them. Therefore, you need to leave space for that when communicating with the supplier.

In case if the goods are not up to the expected condition or quality, you must communicate with the supplier. That’s where the legal contract comes into play. Since you are protected by the legal contract, you will be able to avoid frustration during the imports.

Conclusion

Now you have a clear understanding about the overall process you need to follow when you are importing goods from China. All you need to do is to follow the above mentioned steps. If you do, there is a high possibility for you to end up with positive results. Hence, the process of importing goods from China will be a convenient and a smooth one for you as well. You will love the overall process and it can provide an excellent atmosphere for you to go ahead with a successful business as a trader.

Just take a moment to see how China is growing in terms of exports. Manufacturers in China are looking forward to offer products, which can cater almost all the markets out there in the world. Therefore, it is important for you to have a clear understanding about the process of importing products from China. You will come across a situation where your business cannot survive without the imports from China. Instead of dealing with such last minute frustrating situations, you are encouraged to act as soon as possible. Therefore, it is the high time for you to go ahead and import products that you need to your business from China.

As you can see in this comprehensive guide, you don’t need to go through a lot of frustration in order to import products from China. All you need to do is to follow the steps mentioned in the guide. They can even assist any new business, which is starting to offer a buying and selling business in the long run.

You might not have any understanding at all on how to get starting with a buying and selling business from bringing down stuff from China. This article can provide an excellent assistance to you with that. You just need to learn what needs to be done at what time. If you can do it, you will be able to make sure that you import the best products from the sellers in China at affordable prices. On the other hand, you can make sure that you follow the quickest methods to bring down items you want from the sellers in China. Hence, you will be able to manage your buying and selling business with peace of mind.

If you don’t have a clear understanding on how to get through a specific process when you are buying and selling products from China, you will get lost. This is not a good sign to happen. As a business owner, you need to make sure that everything around you is happening smoothly and there is no chance for you to get lost. Since our comprehensive guide covers all the aspects of importing goods from China, your chances of getting lost are extremely low. Therefore, you can think about keeping peace of mind. All you need to do is to read this guide and stick to it.

This guide can deliver positive results for any kind of a business. A business that follows this guide has very little chances of going wrong. In fact, there aren’t any chances of going wrong, if you stick to the points mentioned in this guide. You will be able to maintain professionalism throughout the buying and selling business as well. This can help you to impress your clients and build a potential customer base. As a result, you will be provided with the opportunity to become a successful business owner.