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How to Find a Good Factory in China

Finding a reliable manufacturing facility is one of the key steps to successful international trade. For foreign customers, finding the right production partner in China requires comprehensive understanding and detailed planning.
This guide will detail how to find good factories in China from multiple perspectives to help companies ensure high quality and efficient supply chain management.

How to Find a Good Factory in China

Know what kind of Chinese factory to look for

Before you start looking for a factory, you first need to clarify your needs, including product specifications, quality standards, production capacity, delivery time, etc.

Specific requirements definition
Product type: Clarify the type of product (furniture, solar panels, clothing, machinery and equipment, etc.), specifications, design and functions.
Quality requirements: Determine quality standards that meet international standards and market requirements.
Production Capacity: Evaluate required production volume and delivery frequency.
Budget and Cost: Set reasonable budget ranges and cost control targets.

Choose the right channel to find factories

There are many channels for finding factories, including online platforms, exhibitions, business associations, and third-party organizations.

Alibaba

Alibaba is by far the largest platform for finding factories in China and many other countries in Asia. You can quickly search for factories and determine if they specialize in making the right products, have test reports, ISO 9001 and BSCI.

Then you can contact the supplier directly through Alibaba to order samples. Additionally, in recent years, they have also been able to pay suppliers and book shipping through Alibaba.

However, it is not required but you choose to just use Alibaba to find factories and then handle the payment and shipping yourself.

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Global sources network

Globalsources is an alternative to Alibaba.com. Although the number of vendors on this platform is significantly smaller, there are still many established and established manufacturers in multiple industries. First, Globalsources is considered strong in electronics.

Globalsources is unique in that they also organize trade shows in Hong Kong (more specifically at the AsiaWorld-Expo near the airport) and elsewhere in Asia, including Vietnam.

Hong Kong Trade Development Council

The Hong Kong Trade Development Council (HKTDC) organizes various exhibitions in Hong Kong, especially in Wan Chai, every year. They also have a page where you can search for suppliers, but what HKTDC is really interested in is the show.

HKTDC Exhibition Overview

  • HKTDC Hong Kong Electronics Fair
  • HKTDC Hong Kong International Outdoor & Technology Lighting Expo
  • HKTDC Hong Kong Baby Products Fair
  • HKTDC Hong Kong Toys and Games Fair
  • HKTDC Hong Kong International Jewelery Fair
  • HKTDC Hong Kong Watch and Clock Fair

Canton Fair

China’s largest comprehensive international trade exhibition covering various product categories
The Canton Fair is held in Guangzhou every spring and autumn. This is considered one of the largest exhibitions in the world, where you will find thousands of manufacturers from China and many other countries.

The 2024 Autumn Canton Fair is divided into the following stages:
Phase 1: October 15-19
Phase 2: October 23-27
Phase 3: October 31st to November 4th

Third-party purchasing company

If you don’t want to visit trade shows or search for factories online yourself, you can hire a company to do it for you. However, it is important that they can clearly explain the basis for their choice of factory and whether they considered the following factors:

  • Product area
  • EU regulations
  • ISO 9001
  • BSCI and Sedex

It must also be stated whether they act as a middleman or report which factories they selected for you. Finally, it must also be clear how they are charged, which can be done in different ways.

What should you consider when choosing a factory?

Before we discuss the different ways to find a factory, it’s important to understand how to determine if a factory is qualified. Here are the factors we consider when choosing a manufacturer.

Is the factory professional?

The most important thing is that the factory focuses on the right product area. There are many trading companies that sell products from other factories, and there are also manufacturers that sell products from other suppliers at the same time.
There are few advantages to working with companies that don’t make the products themselves, as they require expertise to ensure quality.
If you are making children’s clothing, it is important that they specialize in children’s clothing and not primarily make sofa cushions. You can easily tell if a factory is professional by looking at the products listed on its Alibaba page or at a trade show.

Can they meet local national or regional (EU) regulations?

Must always ensure that their products comply with product safety, labeling, chemical and documentation requirements. This in turn requires factories to have the capacity to produce products that comply with these EU requirements. In practice, this might mean the following:

  1. Can they comply with harmonized EN standards?
  2. Can they purchase materials that meet REACH requirements?
  3. Do they have test reports proving that they have previously produced products in compliance with EU rules?

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Business negotiations and contract signing with Chinese factories

After identifying a potential factory, business negotiations need to be conducted and a detailed contract signed to protect the rights and interests of both parties.

Negotiation Points
Price: Clarify product prices and payment terms to ensure cost control.
Delivery terms: including delivery time, transportation method and division of responsibilities.
Quality Assurance: Specify quality standards and inspection procedures.
After-sales service: Clarify the terms of after-sales service and technical support.

Contract content
Detailed terms: including product specifications, quantity, delivery time, payment method, etc.
Liability for breach of contract: stipulates breach of contract and corresponding penalties.
Dispute resolution: Identify dispute resolution mechanisms, such as arbitration or legal proceedings

Shipping goods from China to your country

Ensure that after production is completed, transportation and logistics are reasonably arranged to deliver the goods to the destination safely and efficiently.

Choose the right shipping method:
Ocean Freight: Suitable for bulk cargo, lower cost but longer transit time.
Air freight: Suitable for urgent goods, the cost is higher but the transportation time is short.
Express delivery: suitable for small batches and high-value goods, fast but the highest cost.

For shipping from China to your country, it is best to find a China freight forwarding company to serve you, Below is the shipping information about shipping from China to different countries. If you are interested, you can click on the link to read:

Shipping goods from China to your country

Finding a good factory in China requires thorough preparation and detailed assessment. From clarifying requirements and selecting search channels, to conducting on-site inspections and signing contracts, to quality control and transportation management, every step is crucial. By following this guide, foreign customers can effectively find reliable Chinese factories to ensure product quality and the smooth operation of the supply chain.

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