Seven Advantages of China Product Sourcing



China's high export volume is due to the cheap manufacturing cost. This explains why many companies favour purchasing from China. Over the past several years, many small and medium-sized companies, as well as some of the top brands, have realised the importance of China product sourcing. If done effectively, importing goods from Chinese producers can assist you in increasing your profit margin and reducing labour cost. 

Low labour prices, affordable products, and simple access to raw materials are just a few advantages of sourcing directly in China. However, there are other difficulties with sourcing in China, such as linguistic barriers, cultural differences, and quality control problems. Still, these are trivial issues that can be handled by hiring a sourcing agent. 

What is a Sourcing Agent?

A sourcing agent helps a business find sources for products and inventories at discount rates so the business can save money on the product. A sourcing agent can work for a single boss or for a company that provides services to several different businesses. Some of the qualities required in sourcing agents are multiple language proficiency, sound business judgement, and the ability to work well with others. The sourcing agent receives payment on a commission basis.

Foreign businesses use the China sourcing agency to find partners for their businesses. The sourcing agent's duties include determining the company's requirements, finding suppliers, and visiting them to determine whether they are qualified to accept the orders. Import-related problems like duties, tariffs, and levies can also be handled by the foreign sourcing agency. These can be difficult for businesses to manage if they are unfamiliar with the norms and regulations of China.

Hence, hiring China sourcing agent can benefit foreign companies who are new to the business. Moreover, it is easier to find suppliers in China as China is considered the manufacturing hub globally. Unfortunately, there are still several myths and wrong information spreading. 

Some claim that high-quality products made in China are impossible to obtain. The truth however is that China product sourcing can be the best choice so far.


Benefits of sourcing products from China 

Growing economy

China has established itself as the second-largest economy in the globe. Recently, it has demonstrated that it is the world's biggest manufacturer. Additionally, it has been acknowledged as the most important industrial country. China’s economy is growing quickly, and for a company owner, China product sourcing can be a wise move. 

Vast supplier hub

The large supply base in China is one of the main benefits of doing business there. There are numerous sourcing businesses available for creating almost any kind of product, ranging from clothing and accessories to electronics and consumer goods. China has a variety of industrial groups with numerous businesses and organisations grouped in clearly defined geographic areas. 

For instance, the Yiwu area has the highest demand for small commodities worldwide. Consequently, you can locate a trustworthy sourcing consultant for creating any kind of gift.

Additionally, Guangzhou, Dongguan, Shenzhen, and Zhongshan are supplier centres for cosmetics, hardware, electronic products and metal products consecutively. Each city consists of various helping businesses. These groups provide a variety of services, including packaging, shipping, quality control, and raw materials. In other words, all of your OEM requirements are met in a single location.

Direct sourcing 

Buyers frequently interact with multiple parties, referred to as mediators, when outsourcing, which results in holdups and higher sourcing costs. However, you can deal immediately with the manufacturer during China product sourcing. China's OEM market is highly competitive. Therefore, to avoid the higher costs associated with using numerous intermediaries, most manufacturers prefer to deal with the buyers directly. 

Cheap labour 

China is known for cheap labour costs as well. In the manufacturing industry, labour costs are a significant component in determining the overall cost of the product. Since China is one of the most dynamic countries in the world, it is simpler to locate an abundance of qualified and unskilled labour there. The abundance of indigenous labour enables Chinese buying agent to establish lower manufacturing costs.


Manufacturers can ensure high-quality work standards without having to raise labour costs. Most workers have also had training or expertise in their fields. So, if you're sourcing generic products, you don't need to spend time or money in training as a buyer.


China has a strong, well-established framework. Most Chinese manufacturers have extensive experience and understanding of how the world's supply chains function. These two elements give them the ability to measure demand and ramp up production as necessary.

For instance, you can, in just a few days or weeks at most, expand your China product sourcing from a few thousand to more than a million. Of course, the length of time for spanning up will vary depending on your product's design and the depletion of raw materials, etc.

Additionally, most manufacturers' initiatives discourage customers from spending a lot on Minimum Order Quantity (MOQ). Due to the significantly reduced costs associated with MOQ, startups, and small businesses can begin sourcing products in small quantities.

Hence, you can still scale up as your company expands. However, if you're a new business seeking to build your brand, there is no better decision than utilising Chinese manufacturing.

Less risks involved 

When you source products from China, you choose a carefully managed sourcing strategy that allows you to reduce the underlying difficulties with sourcing. You will participate fully in each process when you buy products from China. This will then enable you to receive early warnings of fraud traps, undue gains, and inconvenient delivery dates so that you can take appropriate action to minimise them.

Ability to select preferred factory

When you choose local suppliers, you are not allowed to inquire about the workers’ terms and conditions. You can only inform your supplier about the product and its specifications.

However, China product sourcing gives you the option to personally inspect the factories and inspect the working conditions there. Additionally, you can choose from a variety of manufacturers and negotiate your terms. You can choose the appropriate products and the various factories that produce the required products.

Sourcing products from China is the finest way of receiving products on time with high quality. You can also customize your products based on your requirements. Versatility is the main reason why foreign buyers choose China’s marketplace for business. 

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