1) How to Find Suppliers in China and deal with them ?
In recent years, China has seen an enormous surge in interest from foreign businesses. This is all thanks to the country’s low manufacturing and labor costs as well as the huge market potential it has to offer. Still, even with all the hype, finding the right supplier is not as easy as it seems. When looking for a supplier in China, it is not a matter of finding one as there are hundreds, probably even thousands who are able to produce your product. Your goal is to find a reputable manufacturer.
What Should I consider when dealing with China supplier ?
Understand your Product Requirements
Before you begin searching for a manufacturer in China, it is crucial that you know the most important features of your product. Create a list of product specifications and requirements based on your buyer’s needs or your end goals to help you choose the most suitable manufacturer.
Source for Manufacturers
Starting out with nothing when you are trying to establish a business relationship can be daunting. However, it is not impossible. While an internet search is convenient and cost-effective, we highly recommend looking into manufacturers that have already been inspected by a third party like Thomas or CBP (Customer and Border Protection). Build a list of at least ten potential suppliers that you can easily and promptly communicate with directly. Building an extensive list is crucial as it reduces the feeling of scarcity in your search for a dependable manufacturer.
As with any new business partnership, it is crucial that you perform due diligence before signing any agreements or making payments.
One great way to verify a manufacturer’s reliability is by conducting a supplier audit. The audit should cover;
A manufacturer that specializes in your product or industry: If a supplier offers to manufacture just about anything, chances are the quality will be substandard.
Choose a manufacturer with good reviews from a client that are currently using, or have used the manufacturer in the recent past.
The manufacturer should be ready and willing to provide their business license, quality control system documentation and any other important certification upon request.
Finances/ Taxes: check to see if they are up to date
Quality Control Systems: check to see if they have had any problems with their products and why
Social compliance: Is the company in good terms with its employees, the community and the surrounding environment according to standards?
Background: find out their local and international reputation, years in business, and the origin of ownership