When it comes to imports, one country that comes to mind is China. Over the years, China has managed to position itself as the center of global manufacturing. Therefore, in this post, we will discuss how to order best-selling products from China.
From a manufacturing perspective, China enjoys several advantages over other countries:
Cheap manual labor
Skilled labor force
Strong government support
Good capital base
Sufficient reserves of rare earth metals
Good supply chain ecosystem
Is it profitable to import from China?
Whether it is profitable or not depends on the following factors (but not limited to them)
Level of competition
Market segments
Gap between supply and demand
Purchasing power of customers
Mode of transportation for imports (air, road, or sea)
Incoterms used by the seller (e.g. FOB, CIF, etc.)
Duties and taxes imposed by customs and authorities
Handling charges (to move the goods from the port to the warehouse)
Freight forwarding commissions
Bank charges
Distance between your country and China
Importing from China is a smart business strategy. However, due to the nature of the products, some are less suitable for importation.
Glass and Fragile Products
Importing glass and fragile products is not entirely wrong, the problem is that the cost of importing these products and keeping them in a usable condition is often high. Due to the fragile nature of these products, businesses are often advised to avoid importing them unless they can afford the additional costs associated with extra care.
Alcohol products
Alcoholic products are lucrative due to the size of their market. However, there are many laws that restrict the use of these products. These laws affect sales, which in turn affects imports. Moreover, different countries and states have different policies and hence it is a bit difficult to develop a fixed import strategy for alcohol products.
Food and meat
Food is one of the most important items for human beings and hence the market is very lucrative. Import of food and meat products from China is not desirable as there are various legal restrictions on importation. The importance of food and meat and the perishable nature of these products are the reasons for the strict regulations.
In addition, food and meat products are perishable and can cause huge losses if not stored properly.
Tips for importing goods from China
Before importing any product from China, it is important that you sit down and consider various issues thoroughly before making a decision. Here are some of the things you must do.
Adequate Research
This applies to any business. You need to do full and proper research before deciding what products to import. Research on the best way to conduct business, norms to be followed, etc.
Finding the right products
The next thing you need to do is to import the right products from China. The type of product may determine the success of your business. Choose a product that is in high demand, which will ensure that you have a steady stream of customers to take your business further.
Finding good suppliers
Another important aspect of importing from China is finding the right suppliers. Many people take this part lightly, and the merit of your supplier can have a huge impact on the success or failure of your business. Imagine your supplier does not deliver your products to you on time and you have promised a fixed delivery date to your customer, at this point you will not only lose profit by losing your customer, your business reputation will also be damaged.
For small and medium-sized businesses, drop shipping is a good option, and sourcingyuan is one of the best drop shipping partners you can choose.
How to find reliable wholesale suppliers from China to import products made in China?
1. Market Research
If you want to import goods from China, the first thing you need to do is to understand the Chinese market. To do this, you need to conduct in-depth research on the culture, rules and regulations of the market to ensure a smooth transaction.
Every country has different ways and modes of doing business, and so does China. Therefore, you need to understand what you are dealing with before importing from China. Some key factors to consider:
Your rights: If you know your rights as an importer, you will know what to expect from your supplier.
Location: Knowing where the manufacturer is located and the shipping options available will help you choose the best port of receipt.
Having a compliant license: A license will help you reduce any delays or problems you may face during the import process.
China’s business model: Understanding China’s business model will help you build long-term relationships and get the best deals and offers for yourself.
Language barriers: Many suppliers are only responsible for supplying goods and are deficient in international communication, so you can look for a professional sourcing agency who will help you with communication and closing deals etc.
2. Finding hot selling products
If you have already chosen some products and know their potential audience, then you are ready to start.
However, if you are new to this area, you can start with products that are in high demand and have a low chance of failure, such as toys, clothing, and accessories.
These are popular products that are often imported from China:
Toys
Clothing
Electronics
Plastics and plastic products
Accessories
Small kitchen appliances
You just need to make sure that these mass-produced products are allowed to be sold in your country. In other words, they meet certain safety standards and are equipped with the necessary safety features, and you are ready to start your business journey.
3. Understanding China’s tariffs
China is a unique and strategic location to do business and is constantly expanding its import and export rules and regulations. However, it is important to know that complex commodity-specific rules still exist, especially as it relates to duties and taxes and how it affects customs clearance in China.
4. Read and understand agreement forms (clear contracts)
When doing business in a foreign country (not just China), remember to read and understand the contract before signing it in any foreign country. A simple and seemingly insignificant clause can be very costly. Do not agree to anything you do not fully understand.
5. Choosing the best method of international transportation
If shipping products in large quantities or bulk, there are several ways to transport your products from the supplier’s warehouse to your location. It depends on the type of product; fragile products require gentle and safe transportation (e.g., shipping), while other less fragile products can be shipped faster. Some items require special shipping processes/methods due to their size, or sometimes due to the radioactivity of pesticides and other important materials.
You need to consider everything before importing from China, such as security that may take some time to get in place, special shipping needs and slow shipping speeds, and safe delivery of fragile items.