Importing wholesale from China, known as the factory of the world, due to its huge manufacturing infrastructure, skilled workers, and immense industry experience, may be your perfect way to achieve a profitable trade and safe and successful import.
Despite the profitability and high ROI of this project, it involves a lot of risks and needs experience and accuracy because its steps are complex, in order to avoid the mistakes that many make and may cost you all your money.
Do not worry, we have put for you in this article all the information you need to embark on your journey, and we have summarized for you 12 years of experience in the heart of the Chinese market, in order to confront major importers Are you ready? Let’s roll…
Requirements for importing goods from China in bulk
The requirements and conditions that must be found are associated with the success of any business in the world, as well as the project of importing goods from China in bulk.
For a safe and successful import, you must provide the requirements of this project and not overlook any of them.
Is it necessary to know the import requirements?
Certainly, you will never succeed in importing from China unless you know the requirements of this project, and study its needs thoroughly.
Goods can be confiscated for violating specifications and re-exported, or high fines may be paid, among many other problems.
What is the necessary information you should know beforeimporting goods from China in bulk?
- Market statistics, and knowing the popular and profitable products that people are looking for.
- The size of the market, the amount of supply and demand, and the nature of consumers.
- Information about competitors, analyzing them to identify their strengths and weaknesses, and differentiate themselves in order to enter the market.
- Information about distribution and sales channels, meaning who are the current and future customers who will buy your product.
- Identify the costs of the project and the price of the product in the market to prepare a feasibility study.
- Identify the quality requirements if the product is sensitive (electronics – cosmetics – foods).
- Identify the customs requirements of documents and documents.
- Learn about industrial cities and Chinese exhibitions specialized in your product in order to obtain high quality, save transportation costs and search for suppliers.
How can you familiarize yourself with import requirements by country?
There are 4 main ways to get information related to import requirements in your country:
1. Browse our blog
At Dr. Abdul Karim Violence, we have a comprehensive blog for everything related to import, suppliers, shipping and customs, helping you move forward in your import project and succeed in it.
2. Ask Google
It is likely that you will find through Google many public and government sites that accurately define quality requirements and approved documents, such as: the Saber Arabia customs platform in Saudi Arabia, and the Saudi Standards Organization.
You can ask some importers in the market, who have previous experience.
4. Consult a customs broker
A customs broker is the best way to get all the information about all your requirements for importing goods from China.
Importing goods from China wholesale … Step by step
Now let’s move on to the step-by-step steps of importing from China, and learn how to properly plan the project, and what are the most important points to stand at.
The short answer to the question of some: How do I order goods from China? It consists of three easy steps under which some explanation falls:
- Buy your goods from Alibaba or one of the Chinese sites (in case of online purchase)
- Get in touch with a shipping company that provides door-to-door shipping services such as Basenton Logistics.
- Receive your goods at your warehouse.
In the following lines, you will find a detailed explanation of how to buy goods from China wholesale step by step, so follow us…
First: Choose a winning product
Certainly, you do not want to import products, they do not have popularity in the market, and customers are not looking for them. The winning product is the product that carries a profit margin in its trade, and customers are looking for it, as a result of their need for it in their daily lives.
The idea of choosing a profitable product revolves around four points:
- Popular products in the market, which customers need.
- Passion for the product, its detail, and methods of sale.
- Product experience and specifications.
- Your relationships with others in order to manage the product, and promote it (relationships with marketers, dealers, etc.)
See the following guides
Second: Study the local market
After identifying the winning product you are going to import, you should now do a market study to identify:
- Consumers’ purchasing behavior, preferences, and ability to purchase to determine the quality you want.
- Identify the amount of supply and demand in the market.
- Identify competitors, in order to create your competitive advantage.
- Identify the price of the product in the local market.
- Learn about sales and distribution channels.
Third: Compare prices and prepare a feasibility study
Now you have to compare prices between the local market and the Chinese market, and then do a feasibility study that determines the profitability of the project from its loss.
The feasibility study includes the difference between the price of the product in the local market, and the cost of obtaining the product from China plus the costs of shipping, transportation, customs clearance and other costs, so you can then know whether the project is profitable or not, and what is the size of the profits you will get. And is it better to import or rely on a local supplier.
Fourth: Select the method of purchase (will you import online, or will you travel to China)
You can import goods from China wholesale in one of two ways:
- Import online by visiting B2B online sales sites, searching for your product and communicating with suppliers.
- Or you should prepare to travel to China, visit cities, exhibitions and markets specialized in your product in order to make deals and see the products and factories closely.
Importing online from China is characterized by low cost and effort; compared to importing from China directly, but the problem lies in the possibility of being fraudulent, either in quantity, quality, or even at the level of money theft.
In order to avoid this, you should:
- Dealing with reliable suppliers, ascertaining the background of the company and its customers.
- Ordering samples and checking them well.
- Dealing with inspection companies, in order to inspect the goods during production and before loading.
- Pay a deposit not exceeding 30%, and do not pay the rest of the amount, except when you obtain the inspection company’s report, and a copy of the bill of lading from the supplier.
Fifth: Find suppliers for your products and choose the best
After choosing the import method you want to work with, you should start looking for suppliers and choosing the best among them in order to import goods from China in bulk.
If you are importing online, you can search for your product on Chinese wholesale platforms, then contact suppliers and get quotes.
If you want to travel to China to import goods, you should get to know the industrial cities specialized in your product, visit the commercial markets and exhibitors to build relationships with suppliers, agree with them and get quotations.
How to choose the best supplier?
When you want to import goods from China in bulk, we recommend that you contact more than 10 suppliers of your product, get quotes, and then negotiate with them to choose the most appropriate supplier by creating a supplier checklist to compare them.
There are a number of important criteria that must be considered when selecting suppliers:
- Appropriate quality: It means the supplier’s efficiency in manufacturing, and its ability to adhere to your quality requirements.
- Better price: i.e. prioritize suppliers who offer a better price.
- Shipping: An important criterion when choosing the best supplier; for example, it is okay to choose a supplier that has a slightly high price, but offers good shipping terms.
- Payment terms and better customer service: It is possible to prioritize a supplier who provides good customer service (such as quick reply – complementary services), or a supplier who offers you suitable payment terms in your case.
Sixth: Be an expert in import contracts
Your ignorance of how to create the contract, its most important elements or how to install it in the Chinese courts; may expose you to many problems, and perhaps exposure to fraud and fraud, so if you decide to professionally import goods from China wholesale and earn from this work, you must be an expert in import contracts, payment and shipping methods.
The most important clauses you should include in contracts:
- Product: Identifying and describing products in terms of (quantity, quality and ingredients), and including legal or technical rules, if any, that they must comply with, as some goods, such as medical and chemical products, are subject to legal rules
- Price and method of payment: how much you will pay, what the exchange rate is, and how the money will be transferred.
- Terms of shipping: How the goods will be shipped, what conditions will determine the procedures and who is responsible for each stage of shipping.
- Risk Responsibility: Clarify who will bear the risk at each stage of the import process.
- Dispute resolution: Agree on the procedures to be followed in the event of disputes, if the fault of one party causes delay, or losses for the other party.
- Equity: If the product is yours, you must include property rights in the contract, to prevent the merchant from using the design, or selling the product to other suppliers.
- Legal jurisdiction of the contract: that is, determining the place where the court will be resorted to in the event of any dispute.
Seventh: Learn about the international shipping terms (Incoterms)
When importing goods from China in bulk, you have to understand the terms of shipping in international trade (Incoterms), where they are agreed with suppliers to determine where each party is responsible, from the shipping process, and determine the place of receipt.
Not knowing the shipping terms may expose you to:
- Not choosing the best supplier that offers better shipping terms.
- Not knowing where your and the supplier’s responsibility fall when shipping the goods.
- Failure to calculate import costs accurately.
- Misunderstanding between you and the supplier about where the goods will be delivered.
- Your ignorance of Incoterms shows that you are a beginner supplier, prompting some suppliers to try to exploit you.
Among the most important shipping conditions:
- EXW _ Ex works: It means that the responsibility of the supplier is limited only to the production of goods.
- FOB _ Free on Board: Translation (free delivery on deck).
- CIF_ cost insurance freight: The CIF terms require that the supplier covers all shipping and insurance expenses, meaning that the price provided at the CIF terms includes delivery of goods to your country’s port. The CIF terms require that the supplier covers all shipping and insurance expenses, meaning that the price provided at the CIF terms includes delivery of goods to your country’s port.
- DDP _ Delivered duty paid: This is the opposite of the EXW clause where the supplier delivers the goods to you in your warehouses.
- FCA _ FREE CARRIER: Free delivery, where the supplier prepares the goods and transports them to the place of your shipping company.
- Free delivery, where the supplier prepares the goods and transports them to the place of your shipping company.
To learn more about these terms, here’s our sea freight guide.
Completion of the process of importing goods in bulk from China
After choosing the supplier you will deal with, and completing the negotiation process to start manufacturing and production, here are the steps to complete the process of importing goods wholesale from China, which ensures that you get your products safely, and protects you from falling into import problems from China
1. Order a sample of ordered products
Samples play an important role in the success of importing goods from China in bulk; samples are the only way to make sure the supplier understands your requirements.
In addition, there are other benefits of ordering samples, namely:
- Ensure the quality you want by subjecting samples to testing.
- Ordering samples proves your seriousness in dealing with the supplier, which will give you attention and interaction from them.
- Ensuring the reliability of your supplier, Reliable Moor will not hesitate to send you samples.
- Evaluate the efficiency of suppliers when choosing between them (which supplier sent a better sample – how long did it take the supplier to produce the sample – how long did it take the supplier to ship the sample)
2. Pay a deposit
After confirming the sample and its conformity with specifications and quality, it is necessary to give the supplier the start signal, by paying the deposit. To start manufacturing
Try not to pay more than 30% as a deposit to suppliers, as this is the usual rate in China.
3. Use the services of goods quality inspection companies
Hiring these companies avoids many problems that may occur, such as:
- The supplier attempts to manufacture products other than the sample.
- Detection of the defect in manufacturing, if any.
- Violation of products to the quality you want.
Quality inspection companies help you monitor the manufacturing process and inspect goods before they are shipped to you.
4. Choose a secure payment method
You can agree with suppliers on the payment method that suits you, and avoid transferring money unless you confirm with the supplier
5. Find out the available shipping methods and choose what suits you best
It is known that you can ship when importing goods from China wholesale in two main ways:
Either by sea freight or by air.
Air freight is fast, but carries very high costs, while sea freight is characterized by its low costs, and the possibility of renting part of the shipping container if your goods are small. (It is the most common shipping method)
- Type of goods: There are some products, such as fragile electronics or expensive goods, that may be a bit sensitive, so we recommend choosing air freight to increase security.
- If you are in a hurry to get the goods to you, you should choose air freight as well, as it is a fast shipping method.
6. Contract with a customs broker to finish customs procedures
The customs clearance process has a lot of obstacles that you may face if you do not have enough experience for it. Therefore, we always recommend the use of a professional customs broker, to avoid these pitfalls, and to clear the goods quickly as soon as they arrive.
You can also ask the shipping company that ships your goods through it, to clear the goods customs upon arrival.
Top 3 Wholesale Import Sites from China
- ALIBABA: The world’s most popular platform, a leading portal that helps trusted suppliers sell their goods and buyers find the right products for their business. The site boasts an endless array of products from electronics and clothing to furniture, vehicles and more.
- MADE IN CHIAN: “Made in China” magazine began working in 1998 in the test of time and managed to become a reliable wholesale website to connect international buyers with Chinese suppliers.
- Globalsources: It is considered one of the largest wholesale sites in the world, the site focuses on electronics and fashion, and connects the online and offline.
Here we have put your first steps to start a wholesale import of goods from China, and we showed you how to complete the task successfully, and stay away from the most important mistakes.
The ball is in your court now, it’s your turn to start this project, and tell us about your experience in the import journey from China.