Practical Steps for Sourcing from China Directly



China sourcing is the process of finding and working with suppliers or manufacturers in China to produce goods or products for a business. Businesses capable to navigate the market partnering with a reliable manufacturer can find sourcing from China rewarding, even though the country is heavily misunderstood.

4 reasons why to source products directly from China

1. Low-cost: One of the main advantages of direct product sourcing from China is saving on production cost. Chinese manufacturers can produce goods at a lower cost due to the low cost of labour and production inputs. With this cost-saving feature businesses can transfer the savings to their customers by asking lower rates than their competition without the fears of product quality.

2. Wide range of products: China is known for its vast array of products, ranging from electronic gadgets to clothing, toys, and household goods. Sourcing directly from China provides businesses with a wide range of products to choose from, ensuring that they can find products that meet their specific needs and requirements.

3. Customization options: Customize product in China become more and more popular in recently years. Chinese manufacturers are known for this ability to meet the specific needs of their clients. This means that businesses can work with manufacturers to create products tailored to their brand and customers' needs.

4. Access to technology and innovation: China is home to some of the most innovative and advanced technology companies in the world. By sourcing products directly from China, businesses can gain access to the latest technological advances and incorporate them into their products, giving them a competitive edge in the market.

Many companies around the world source their products from China to take advantage of these benefits and lower their production costs. The process of China sourcing involves identifying potential suppliers, negotiating prices and terms, managing quality control, and overseeing the shipping and delivery logistics.

9 practical steps for sourcing from China Directly

Sourcing from China directly is a smart way to have high-quality products manufactured at reasonable prices. Nevertheless, it requires thorough planning before, during, and after processes or can turn out to be a nightmare. These nine practical steps can help ease product sourcing from China:


1. Research potential suppliers: Due diligence of potential online suppliers is a must. Use platforms like Made-in-China, Alibaba and Global Sources to find niche suppliers. Look for manufacturers with good repute, experience, great track record, and positive review.

2. Contact suppliers: Once you have a list of potential suppliers, contact them to introduce yourself and ask about their products and services. Ask for their catalogue or samples of their products, and don't hesitate to ask questions about their production processes, lead times, and pricing.

3. Evaluate suppliers: Evaluate each supplier based on their response time, the quality of their products, and their willingness to work with you. Focus on how the manufacturer communicates and evaluate their professionalism level.

4. Negotiate pricing and terms: Once you have identified a few suppliers that meet your requirements, negotiate pricing and terms with them. Try to get the best possible price without sacrificing quality or service. You need to have complete clarity of your product needs and ensure that every expectation is written in the purchase agreement.

5. Run a factory audit: Factory audit in China will help to verify the capabilities, relevant regulation compliance, and quality control measures of the manufacturer. So, run factory audit before signing a purchase agreement. Some importers hire 3rd party local inspection company for conducting factory audit on their behalf.

6. Place an order: Once you have selected a supplier and negotiated the terms, place an order with them. Make sure everything is clearly documented in a purchase order, including the product specifications, pricing, delivery date, and payment terms.

7. Manage production: During production, stay in close communication with the supplier to monitor progress and ensure that everything is on track. You can use a project management tool to track the progress of your order.


8. Conduct quality inspection: Before the goods are shipped, conduct a quality inspection in China to ensure that they meet your quality standards. Some importers hire 3rd party local inspection company for pre-shipment inspection on their behalf.

9. Organize shipping & logistics: After a positive pre-shipment inspection report, you need to make arrangements for shipping and logistics and ensure safe transportation to your destination. You can use a freight forwarding company to handle the logistics for you.

By following these practical steps, you can efficiently source Chinese products directly and ensure that to receive affordable and high-quality products.

Sourcing products directly from China versus hiring China manufacturing agent

China is currently the leading manufacturing source due to its enormous and skilful labour force, low labour charges, as well as innovative manufacturing capabilities.  Sourcing from China directly can be cost-effective if you have the time, resources, and expertise to manage the process yourself. However, if you are new to the process or have limited experience with importing from China, it may be more challenging and time-consuming than expected.

Alternatively, a manufacturing agent in China can deliver several benefits, especially to buyers unacquainted with the Chinese marketplace, and provide local knowledge, language skills, and experience in dealing with Chinese suppliers. The documentation and customs clearance included in the export/import process is complex and working with a familiar agent the navigation becomes simple.

Here are some situations where it is wise to hire an experienced agent:

  1. You are new to sourcing from China and have limited experience.

  2. You have no knowledge about Chine language or cultural differences, which can impact your negotiations.

  3. You need help with logistics, including shipping, customs, and documentation.

  4. You are sourcing a complex or highly customized product.

  5. You need to find a supplier quickly and do not have the time to research and vet potential suppliers thoroughly.

  6. You have concerns about quality control and need someone on the ground to ensure your products meet your specifications.

Eventually, the decision to source from China directly or hire a manufacturing agent depends on your specific business needs and circumstances. It's always a good idea to do your research, understand the jeopardies and expenses involved, as well as reflect on all other options before deciding.

Recent Blogs
Want to speak with our key account manager?
We speak your language.

Our Features