Yiwu Market Guide: The Ultimate Guide

Yiwu is the largest trading city in the world for different types of small commodities.

Every year, more than half a million foreign traders come to Yiwu to source various small commodities.

In this definitive guide, you’ll learn various aspects of the Yiwu market for wholesale.

You’ll also know a step by step process on best ways to navigate this market and ultimately get the best out of your visit.

Where is Yiwu Wholesale Market

Yiwu market is located in Yiwu City, a central part of the larger Zhejiang Province, China.

This business center evolved from a small agricultural town to become the largest city built on markets and small commodity businesses.

Yiwu market is surrounded by some of the major cities such as Shanghai and Hangzhou.

These neighboring cities are also essential when it comes to supplying goods to Yiwu wholesale markets.

The prime setting of Yiwu market plays an integral role in its continuous growth and development over the years.

Its central location makes it an ideal distribution source for different types of products used in Zhejiang province daily.

How to get to the Yiwu market

You can quickly get to the Yiwu market irrespective of the part of the world you are coming from to source for products.

Ostensibly, the Yiwu market is accessible from different directions since it offers an array of convenient transportation options.

Here are some of the ways you use to can access the Yiwu market from the major cities in China;

· Getting to Yiwu Market from Shanghai

You can use four means of transport to get to the Yiwu market if you are coming from Shanghai.

The fastest mode of transport, in this case, would be using a train, which takes approximately 2 ¼ hours.

You can as well choose to use buses, which are regarded to be a relatively economical option.

However, buses take about four hours to get to Yiwu from Shanghai.

Another option you can choose is boarding a taxi.

Taxis are quite a several in this route and take around three hours.

Finally, you can opt for a self-drive by hiring a car, which also takes approximately three hours to get to Yiwu.

· Getting to Yiwu from Beijing

Since Beijing is the Chinese capital city, there’s a likelihood of making it your first choice when traveling to China.

You can get to Yiwu from Beijing by any of the following options, depending on your choice;

  • You can take a flight, which often takes approximately 4 ½ hours, quite faster but relatively expensive.
  • You can opt to take a train, which takes around 6 ¾ hours but still save some considerable fortune.
  • Also, you may decide to hire a taxi or self-drive car for a journey, which takes about 14 hours.

· Getting to Yiwu from Guangzhou

Ideally, Guangzhou is relatively far from Yiwu city.

Thus if you’re not on a tight budget, it advisable to simply take a flight.

Most domestic flights take around 4 ¾ hours, and the price range from $100 to $200.

However, if you are working on a tight budget, you may opt for other alternatives such as train, bus, and self-drive.

· Getting to Yiwu from Shenzhen

Traveling from Shenzhen to Yiwu presents an array of options.

You can take a flight at a cost ranging from $100 – $200 for a 4 ¾ hours trip.

If you’re on a budget, you can perhaps consider other cheaper alternatives such as bus, self-drive, and train.

The duration for these options are 21 hours, 12 hours, and 8 hours respectively.

· Getting to Yiwu from Ningbo

Ningbo is relatively close to Yiwu; thus, the ideal mode of transport, in this case, is using a train.

A train takes about 1 ¾ hour and is fairly cheap, often ranging from $20-$35.

You may as well choose to board a bus, which costs $9 and takes about 4hours.

If you choose self-drive or hire a taxi, you’ll take approximately 2hours from Ningbo to Yiwu.

Moreover, whichever option you choose to use to get to Yiwu, the distance from such facilities to the actual Yiwu market is usually short.

It’s about 10 km from Yiwu train station to the Yiwu market, a 20-minute drive.

From Yiwu airport to Yiwu market, the distance is about 11.4 km, a 25-minute drive.

The distance from Yiwu market to Yiwu bust station is 1.5 km, a 7-minute drive.

The Best Time to Visit Yiwu Market

There is a need to carry out thorough background research before visiting Yiwu for business purposes.

Of course, the market is opened every day throughout the year.

However, there are specific times when your visit allows you to get the best deals ever.

During trade fairs would be the most appropriate time to visit Yiwu.

In essence, it becomes easy for you to get better deals and also create rapport with several suppliers and manufacturers.

Weather patterns and annual holidays in China are also a vital consideration when planning to visit Yiwu.

Essentially, the ideal time to consider visiting this market would be between March and June and between September and December.

While at it, you also need to determine the number of days you’ll spend sourcing for products in Yiwu.

This way, you can figure out the best seasons when perhaps hotels and accommodation are relatively affordable.

And this makes economic sense, especially if you’re going to spend more time in Yiwu of at least 7 days.

The Best Wholesale Markets in Yiwu

Ideally, Yiwu market is a general term.

Typically, this market is regarded as Yiwu International Trade Mart.

In many cases, it is referred to as the Futian Market.

In other words, Yiwu market is a cluster or market.

Technically, the entire Yiwu city serves for market trade.

That’s the reason you can see there are numerous booths along the streets full of products for wholesale.

These numerous sub-markets in Yiwu wholesale market are often categorized based on products sold.

The wholesale markets in Yiwu include the following;

i. Futian Market

This wholesale market is located in District 1.

It is the largest and most famous wholesale market in Yiwu.

Several products such as toys, bags, jewelry, hair accessories, belts, and scarfs are available in wholesale.

This market has over 50,000 booths across all five Districts.

Futian is also famous for artificial flowers as well as small home appliances.

It opens from 8 am to 5 am.

ii. Yiwu Material Market

This market has become a large-scale center for sourcing building and decoration materials.

It is also synonymous with ceramics products, stones, and aluminum.

Yiwu material market has over 350 booths.

iii. Digital Market

The digital market in Yiwu is the largest place for sourcing cell phones, computers, LEDs, and a variety of tech equipment.

In most instances, businesses in the digital market tend to focus on retail for individual usage rather than a wholesale business.

It is located in Binwang Road and always open from 8 am to 5 pm.

iv. International Production Material Market

This market concentrates on production and selling a wide range of production materials.

Such materials include glass, woodwork, ceramics, and equipment you can use to produce raw materials and machinery.

It also serves as the center for lighting products as well as leather items.

The market is located along Chouzhou North Rd. and always open from 8 am to 5 pm.

v. Communication Market

Most of the available products here include networking devices, cameras, walkie-talkies, radios, cellphones, and cables.

Anything you might require to sort your communication needs can be sourced from this particular market.

It is located in Binwang Rd and opens between 8 am and 5 pm.

vi. Zhejiang Timber Market

This market is synonymous with the largest and highest grade of timber and related accessories.

It is also the best place to source a wide range of building materials, including wood for flooring and other infrastructure.

It is located along Huancheng W Rd and also opens between 8 am and 5 pm.

vii. Yiwu Furniture Market

This is the only professional market approved by the government in Yiwu City, where you can source all types of furniture products.

Yiwu furniture market has modern infrastructure and regarded as the largest single scale market in the entire Zhejiang province.

It is located in the central parts of West Yiwu City along Xincheng Rd.

 viii. Huangyuan Clothing Market

Huangyuan is regarded as the largest professional market located in the middle zone of Zhejiang province.

It complements selling wholesale and retail business for clothing and garments.

This market is located at the intersection of Huangyuan road and Jiangbin middle road.

Types of products you can buy in Yiwu Market

Ostensibly, it would be relatively difficult to explain all the types of products you can source from Yiwu Market.

In this market, you can find over 400,000 types of different products.

We cannot exhaust all the products in writing.

This merely means you can get most types of products you can imagine, if not all.

The products are numerous and available in various categories.

Some of the common item categories include the following;

  • Machinery and equipment
  • Hardware and tools
  • Fashion accessories
  • Packing materials
  • Apparel, shoes, and parts
  • Pet supplies
  • Consumer electronics
  • Homeware and decoration
  • Sports and outdoor
  • Toys
  • Health and beauty products
  • Auto and motorcycle accessories
  • School and office supplies
  • Apparel, shoes, and parts

Advantages of Shopping Products from Yiwu Market

Sourcing products from Yiwu wholesale markets, whether for commercial or domestic purposes, presents a lot of benefits.

With the right information, you will always get the best deals ever when shopping from this particular world’s largest small commodities market.

Some of the obvious advantages include the following;

1) Availability of a Variety of Products

With over 400,000 thousand types of products, you can be certain of getting any variety of the item you’re looking for.

This is fundamentals, especially for commercial purposes, since you’ll need to get a wide variety to choose from.

In essence, it allows you to get specific products, which meet your particular demands.

2) There is No Sales-pressure

Typically, whenever you are sourcing products from wholesale markets, you are bound to give in to pressure from various quarters.

At times this can lead you to make wrong decisions as far as purchasing the products is concerned.

However, the good thing about shopping from Yiwu Market is that you are hardly subjected to such sales pressure.

You have the liberty to make an independent choice based on your specific demands.

And the reason here is always as a result of a variety of options all-round.

Ultimately, you make end up making a sound decision and leave the market with a satisfied conscience.

3) High Level of Convenience

Generally, Yiwu wholesale market is perfectly structured, of course, to meet international requirements.

As such, the structures are put in place accordingly to enhance mobility and other related elements.

Suppliers have reasonable lead-time for obtaining products.

The stocks are always available and ready-to-ship irrespective of the quantity you may need.

This is convenient and cost-effective since you’ll be able to save on a considerable amount of money and time.

4) Flexible MOQ

When shopping for small commodities from Yiwu wholesale market, the MOQ should be the least of your worries.

Many suppliers here offer different types of products without necessarily minding about the MOQ.

Some suppliers can get you even a single piece of the specific product you are looking for.

Moreover, you can always negotiate with the supplier on a reasonable MOQ, especially when sourcing assorted products.

In essence, it allows you to obtain commodities even when you are working on a budget.

5) Affordability

In Yiwu market, one element you can be guaranteed of is obtaining goods at relatively affordable rates.

The products are usually available at discounted rates, which is something you can rarely find in other markets around.

There are several options where you can find similar products at relatively cheap rates irrespective of the MOQ.

Moreover, the products are as well of good quality, making the undertaking worth it.

6) Operational Throughout

Yiwu Wholesale Market is hardly closed down on weekends or holidays.

Most stalls here operate every day of the year, mostly from 8:30 am to 5:00 pm.

The only time the market is closed is during the Chinese New Year, which is often about two weeks.

In essence, this gives you the liberty to plan on flexible dates where you can conveniently visit and source products.

7) Easy Accessibility

You can get to the Yiwu market via different means of transport from anywhere in the world.

This makes it easy for you to get to the market and source for your products conveniently.

There is also a BRT bus, which moves visitors to different districts of the market at fast speeds regardless of traffic.

Moreover, Yiwu city has a host of hotels, which offer accommodation services.

It makes it easy for you to find comfort as you continue sourcing for different small commodities irrespective of your stay.

8) Security

At Yiwu market, there are hardly incidences of insecurity.

This means you can comfortably go around with your business without worries about your safety.

In essence, this gives you peace of mind while sourcing products.

And this is vital when shopping for different products in different sub-market within Yiwu wholesale market and city in general.

Categories of Yiwu market

As far as organization and planning are concerned, there is no other market globally, which matches the Yiwu wholes market.

Yiwu International Trade City is innovatively organized and regarded as one of the most advanced in the world.

Since the market is relatively vast, it is divided into regions based on the category of products.

And this is to make it easy for you to get access to the market and source your respective products accordingly.

· District 1 of Yiwu Wholesale Market

This region consists of a 4-story building erected in October 2001 but started the operations a year later.

It occupies an area of approximately 34,000 square meters and about 11,000 trading booths.

Different categories of products are stocked on various floors for easy accessibility.

At least 70% of the products in this district are purposed for export.

Additionally, this district consists of vending machines, financial institutions, and various multinational serving restaurants.

Floor Product Categories
1 Toys;  Artificial flowers; Ornaments; Flower accessories
2 Jewelry;  Ornaments; Hair accessories,
3 Ceramic and crystal; Tourism craft;  festival craft; Ornament accessories; Decorative crafts; Picture frames
4 Taiwan Mall ( Craft, Flower, Ornament) Factory Outlets (Toys, Flower, Ornaments)

District 2 of Yiwu Wholesale Market

This is a 5-story building officially opened in October 2004.

It occupies 600,000 square meters and has over 10,000 trading booths.

All the shops from 1st to 3rd floor in District 2 are cubed.

Like District 1, this region also has various service facilities such as banks, restaurants, and telecommunication firms.

Floor Product Categories
1 Suitcases; Bags; Raincoats; Umbrellas
2 Electrical Accessories; Locks; Hardware tools & Fittings; Vehicles
3 Kitchen & Sanitary Products; Clocks &Watches; Small home appliances; Telecommunication products; Shavers; Flashlights; Batteries; Lamps
4 Electronics; Suitcase & bags; Hardware & Electric Appliances; Clocks & Watches; Factory Outlets ( Hong Kong Mall, Korean Mall, Anhui Mall, Sichuan Mall)
5 Featured products; Export agencies

District 3 of Yiwu Wholesale Market

This district is a 5-story building covering about 460,000 square meters with more than 7,000 stalls.

Various products are put on different floors of this building as illustrated in the table below;

Floor Product Categories
1 Pen; Paper; Ink; Eyeglasses
2 Stationery; Office products; Outdoor products; Cultural & Sports products
3 Beauty products; Cosmetics; Zipper outlets; Garment accessories; Button; Cosmetic accessories
4 Beauty outlets; Cosmetic outlets; Apparel accessories outlets; Cultural and Sports outlets

District 4 of Yiwu Wholesale Market

This is the sixth generation market of Yiwu commodity city regarded as the strongest and arguably best-bred district

It started operating in October 2008 and occupies an area of 1,080 000 square meters.

District 4 consists of more than 19,000 trading booths, mainly selling textile and related products.

Floor Product Categories
1 Stockings; Socks
2 General merchandise; Consumables; hats; Gloves; Supermarket products; Earmuffs; Knitted products
3 Shoes;  Sewing threads & Tapes; Towels, Yarns; Textile accessories; Buckles; Neckties
4 Bras; Belts; Shawls; Scarves; Innerwear; Scarves

District 5 of Yiwu Wholesale Market

This is the latest district in the International Trade City.

It features a 5-story building and was officially opened in May 2011.

This district has over 7,000 shops covering a total area of 640,000 square meters.

Many of the products available in this district are imported.

Most of the stalls in this district are often open between 10 am and 4:430pm.

Floor Product Categories
1 Daily Consumables; Jewelry; Imported commodities; African products Exhibition center; Clothing; Food products; Health Care products; Handcrafts;
2 Beddings; DIY products; Chinese knot
3 Curtain materials, Needles, Knitted fabric; Knitted cloth;
4 Auto accessories; Ceramics; Hotel supplies; Commodity distribution; Pet products; Motorcycle parts

How to Source products in Yiwu Market

Sourcing products in Yiwu wholesale market can be an uphill task, especially if you are a newbie.

With over 75,000 trading booths available in the market, it can be difficult to find exactly what you need.

Nevertheless, there are several ways you can use to source items in this vast market;

· Going Alone

In this case, you’ll need to physically visit the different booths as you search for the specific products you need.

It is an ideal method, especially if you are an experienced buyer or familiar with the market.

· Hiring a Translator

This method is always effective where there is a communication challenge when it comes to sourcing of the commodities.

Technically, it is more of going alone but seeking assistance from translators to make the sourcing process effective.

· Using a Sourcing Agent

You may choose to seek services of a sourcing agent when purchasing products from Yiwu wholesale market.

This technique is regarded as the most effective, convenient, and relatively cost-effective.

Most of these agents here are experienced and understand various booths to obtain specific products, which meet your demands easily.

· Using e-commerce Platforms

Most of the Yiwu wholesale markets have partnered with different types of e-commerce websites.

Alibaba, AliExpress, Amazon, E-bay are among the common online platforms you can use for sourcing products from the Yiwu market.

It is also a convenient and cost-effective approach to undertake, especially if you have knowledge and experience.

How to Deal with Yiwu Market Suppliers

Yiwu market has thousands of suppliers. Dealing with such a multitude of people requires meticulousness and comprehension of prevailing factors.

The specific ways of dealing with Yiwu market suppliers are quite broad and entail the following aspects;

1. Finding the Right Supplier

A fundamental aspect when sourcing commodities from Yiwu wholesale market is making sure you get the right suppliers.

This is one way of guaranteeing best results and overall experience in this entire undertaking.

There are several options you may explore when it comes to finding the right supplier.

Never limit yourself to a specific supplier; instead, check all available options and deal with the right one.

Also, there are no fixed prices for products in this market.

Always endeavor to bargain strike a beneficial bargain guaranteeing you profits when you resell the items.

Ostensibly, suppliers of similar product categories are usually stationed within the same area.

In case you’re visiting the market in person, never miss the instructions signs and maps at every entrance.

It thus becomes easy to find suppliers you need through instructions.

If you are unfamiliar with space, which can be apparent, you can seek assistance from a reputable agent.

Alternatively, you can download a navigation map on your mobile device.

It contains product distribution of the entire market hence making maneuvering through quite easily.

You can as well do an online search on the official website of Yiwu wholesale market called Yiwugo.

This platform allows you to locate the suppliers and products you need.

All the booths are numbered for easy and fast location.

2 Communicating with Suppliers

It is another aspect of dealing with Yiwu suppliers you ought to understand.

Most suppliers in Yiwu hardly communicate in English.

Even so, it never deters their enthusiasm for doing business.

They use simple numbers, use translation pens, and Basic English words.

You can point a product you see at the booth using your fingers.

The suppliers will show you the price in RMB; then, you convert to your currency.

It thus makes it easy for you to pay for your orders in cash, especially when you’re buying a small quantity.

If you need to know more details regarding manufacturing, customizing, or developing your products, find a translator or sourcing agent.

The essence of a translator, in this case, is to enhance communication between yourself and the supplier.

Other aspects, such as product inspection and delivery after purchase is not part of their task.

3. Price Negotiation

Yiwu International Trade City is synonymous with price negotiations.

However, you need to visit the market thoroughly and also talk to different suppliers.

This allows you to compare prices before you finally have an idea of a better supplier to buy from.

After comparing the rates vis-à-vis quality, it’s when you can comfortably engage a specific supplier and start negotiating price.

4. Payment

This is another fundamental element as far as dealing with Yiwu market suppliers is concerned.

Ideally, most vendors here deal with a local currency known as RMB.

In essence, they deal with small commodities, which makes sense.

Therefore, you’ll need to have enough local currency for paying your purchase.

In Yiwu wholesale market, suppliers rarely accept foreign currencies.

Luckily, there are numerous banks and foreign exchange point in Yiwu where you can get local currency.

If you’re making large quantity orders, suppliers will often need you to pay a certain amount in form of a deposit.

You can then settle the balance right before shipment of the consignment to the respective warehouse.

Cash payments are always acceptable and often come with better discounts.

Therefore, if you never mind carrying a lot of cash with, you can explore this option.

5. About Quality

At times, the products you receive are what you see in the market.

However, quality problems are always bound to arise from time to time.

Quality issues are never a concern if you are buying on-site or awaiting delivery in your hotel room.

If you have time, always consider picking up the items yourself in the warehouse.

This way, it becomes easy to identify any possible quality issues such as wrong package, insufficient quantity, wrong color, damaged products, etc.

Moreover, you can choose to consider the following elements when it comes to quality of products;

a) Go for Suppliers with Specialized Product Categories

Suppliers with specialized categories tend to offer better quality than general product suppliers.

Specialized category suppliers are also professional and more familiar with the products.

This is contrary to various categories of suppliers.

b) Verify Product Quality

Always purpose to confirm the quality of the product you’re purchasing.

Never assume that once you place your order based on sample products, the quality is guaranteed.

You can task a sourcing agent with this role if you are not within or ordering online.

How to Find and Deal with Yiwu Market Agents

Yiwu wholesale market has tens of thousands of agents.

And given the excellent services they offer in product sourcing, you may wonder the ideal way of getting a reliable one.

If you’re abroad, it is advisable to find a YiWu sourcing agent before visiting the market.

However, if you are already in Yiwu, the easiest way to find a sourcing agent is by searching online.

A simple Google search would suffice.

Moreover, there are several advertisements for sourcing agents in different areas within Yiwu City.

For instance, you can find some ads at the airport, train station, bus station, as well as some hotel entrances.

In such instances, you need to pick a few and research their whereabouts online.

A few tips to guide you in finding a reliable, knowledgeable, and experienced sourcing agents include the following;

· Send an Inquiry Request

The response you get upon sending an inquiry to the potential agent determines professionalism and experience.

This way, you can choose to sort out the sieve the ones you need and leave the rest.

· Pay the Agents a Visit

It is necessary to consider visiting the offices of the potential agents you are courting.

Check their business licenses and other relevant certifications.

Don’t trust online information too much since some are mere crooks who are taking advantage of unsuspecting clients.

Physical visit also makes it easy to know where to find them in case an issue arises.

· Give them a Try

This merely involves engaging them to take you through the actual process.

Let them take you for a tour as you gauge whether or not they are suitable for your needs.

It becomes easier to gather more information on how they conduct their trade.

However, if you are a customer from Africa or Middle-East, you can deal with people who import directly from Yiwu.

They communicate in your local language and also fully understa

What is CBM: A Complete Guide

In international shipping, the weight of a consignment is a vital aspect in determining numerous elements.

Many carriers use the weight to determine the price quote.

Determining the weight also allows you to move the shipments effectively.

In this guide, you will know all the fundamentals regarding CBM. And this will enable you to have an idea of the essence of weight in international shipping.

Meaning of CBM in International Shipping

CBM is an acronym of Cubic Meter.

Ideally, it refers to freight volume of the shipment for domestic and international shipping.

CBM is the predominantly used unit of measurements in transportation of different types of cargos globally.

This unit of measurement is vital in shipment, transportation and air cargo, given overall shipping cost is dependent on the same.

Moreover, CBM is also essential in calculating the freight class, chargeable weight, and dimensional weight.

Dimensional weight refers to an approach of creating a theoretical figure representing bulky but relatively light consignments.

It is used in calculating the chargeable weight.

Chargeable weight simply the greater of the dimensional weight.

Ideally, pricing for ocean freight is often fairly averse to weight and more focused on size.

On the other hand, air freight is relatively more sensitive; hence the dimensional weight often plays a critical role than the actual weight.

Freight class is a theoretical number created by trucking carriers to compensate truckers for transporting oversized loads.

Most items shipped by trucks often go by simple freight class categories determined by weight.

Even so, CBM can play an integral role in determining the freight class.

All these are fundamental calculations in international freight, be it courier, ocean, or sea.

It is thus pertinent to know how to calculate the CBM of your consignment and the container as well.

How to Calculate CBM in Shipping

Calculating volume of your shipment is a common subject in international shipping.

If your cargo is Full Container Load (FCL), the freight charge for the same will be on a full load container basis.

However, where the cargo is Less Container Load (LCL), the freight charge will be on the basis of shipment volume.

Nowadays, there are several CBM calculators online.

Such online calculators enable the manufacturers to measure their consignments in terms of cubic meters easily.

Using online CBM calculators also makes it possible for you to convert a wide range of units into the standard ones.

In calculating CBM, the total weight of the cargo should never exceed 1 ton.

In other words, where the cargo’s weight is over 1000kgs, its volume is treated based on weight.

Typically, freight forwarders often charge the LCL rate per CBM or per weight of 1000kgs basis depending on which is higher.

Technically, the CBM calculation formula is relatively simple.

The formula entails calculating product of the quantity of items by length by width by height.

CBM = (Length x Width x Height) x Quantity of Items.

If you have a shipment with different sized items, you’ll need to repeat formula for each size then add up volumes.

Nonetheless, you must take note of the unit length, width, and height that must be converted into meters.

In some instances, you may have large items with a light overall weight charged depending on the space it covers on aircraft.

In such instances, it is the volumetric or dimensional weight used to calculate the cost of shipment.

It is thus recommendable that you calculate a volumetric weight for each shipment you are sending then compare it to actual weight.

Of the two weights, you’ll use the greater one to determine the price the air shipping company charges you.

The formula for calculating volumetric weight is;

Volumetric weight in Kilograms = (Length x Width x Height in centimeters) / 5000

This way, you’ll get the volumetric weight. You can always use the online calculators to calculate the actual figure.

Moreover, there are other applications you can as well download and have on your mobile gadget for easy and effective calculation.

Calculating CBM for Small Parcel Delivery

Calculating CBM for your product is quite easy.

You just need to pack it deftly into a cuboidal box to map the dimensions correctly.

After packing the parcel, measure the length, width, and height of the box, preferably in meters.

In case you have taken the measurements in other units other than meters, it is recommended that you convert it first.

After converting the units into meters, you can go ahead and calculate the CBM.

Similar to air freight, volumetric weight is also essential to calculate when you’re using courier service for small order.

The greater weight between volumetric and actual weight is used to determine the precise price the courier company will charge you.

Once you have the measurements of all three dimensions, multiply them to obtain the CBM value of your package.

The following is an example is the formula of how to calculate CBM for a small parcel delivery;

  • If the length, width, and height of your package is 1.5m, 2m, and 2m, respectively, the resultant CBM would be;

1.5 x 2 x 2 = 6CBM

Most carriers always provide a free CBM calculator to enable you to calculate the exact volume of your shipment.

You can as well utilize other reliable online calculators to determine the CBM of your parcel.

How to Ship Products from China via CBM

In many instances, CBM shipping from China involves the use of third party shippers.

Every entity has its respective policies and procedures when it comes to shipping items from China via CBM.

In general, though, irrespective of the entity you choose to use for this service, you must have an account.

Creating an account on any of the entity’s platforms is quite easy; you simply need to follow the prompts provided.

Once you create the account, you will obtain a unique China address, which you’ll need to copy and paste into the entity’s platform.

If you choose, you can make the address default one.

You then need to purchase all the items you need from the platform as you would ordinarily do and check-out once done.

However, you need to double-check to make sure the shipping address is correct.

In many instances, you’ll see the specific courier company the seller used to ship out your item.

In short, the entire process involves four main steps;

  1. Purchasing the item on the ecommerce platform
  2. Input the courier name and tracking number of your shipment
  3. Consolidation of the shipment and shipping it out
  4. Awaiting arrival of the shipment

Use of 3PF in CBM shipping

Third party forwarders are integral in CBM shipping.

In China, there are several third party forwarders you can choose to use when shipping your CBM products.

The ultimate choice, of course, is dependent on a variety of aspects such as cost, route, and duration.

Moreover, other ancillary services such as warehouse storage also play a role in determining the ideal 3PF for your needs.

Most of the 3PF in CBM shipping have relatively simple and user-friendly websites.

This makes it easy to navigate through when in need of the CBM shipping services.

It is also easy to gauge size and total cost of your CBM shipment when using 3PF.

They have calculators hence allowing you to determine the price before committing.

Using 3PF in your CBM shipping needs is also cost-effective.

For instance, some offer free warehousing and doorstep delivery services for parcels less than 0.5 CBM.

Some of the 3PF platforms also come with personalized features.

In essence, this allows you to determine various elements regarding storage, shipping, and delivery of your shipment.

However, it is also important to understand that shipping all your items with 3PF at once is always a cheaper option.

Nevertheless, it is the best method for shipping different items such as furniture, fittings, and décor to your home or office.

Types of Containers and their Respective CBMs

Determining the volume of your shipment is necessary when estimating the quantity of products which fit in a specific type of container.

Ocean shipping container often come in different varieties, as described in the table below

Container Type Length Width Height Capacity (CBM) Maximum (CBM)
20’ 589 cm 234 cm 238 cm 26-28 33
40’ 1200 cm 234 cm 238 cm 56-58 66
40’ High Cube 1200 cm 234 cm 269 cm 60-68 72
45’ High Cube 1251 cm 245 cm 269 cm 72-78 86

In calculating CBM for the container, you don’t use a simple arithmetic formula of comparing total shipment volume and maximum container capacity.

In principle, each time a container is loaded, it becomes relatively difficult to use up the entire space.

The amount of unused space in the container is dependent on size and shape of items you are loading.

It could as well depend on the type of packaging and how the items are stowed.

In most instances, however, the actual capacity within the container is about 80% of its maximum capacity.

Therefore, the table above allows you to get an idea of the quantity of items you can fit in respective types of containers.

Top carriers in China to consider in CBM delivery

In China, there are several carriers you may choose to consider for all your CBM delivery demands.

You just need to carry out thorough background research to determine the best one for your needs.

While at it, ensure you also consider the charges for each service provider.

Some of the common carriers you may choose include the following;

  • Global Fulfillment Solutions
  • JJ Shipping
  • China Railway Special Freight Company Limited
  • Shengyu Freight
  • Zhongtong Express
  • Linde Beijing International Transport Agency
  • International Transportation Limited (COMTRANS)
  • Shenzhen Marine Shipping Agency
  • Beijing Fansite International Transport Agency
  • Shanghai Tieyang Multimodal Transport
  • Guangzhou Trinity Marine International Freight Services
  • Everglory logistics
  • China Railway Express
  • Guangzhou Xiyang Logistics

Documents you need in Shipping CBM Packages

There are important documents, which you must have when shipping different types of CBM packages.

Some of these documents include the following;

· Bill of Lading

This refers to a ticket outlining the cargo’s journey from the country of origin to country of destination.

The carrier issues it to the shipper, and it describes the method of shipment irrespective of the path.

· Commercial Invoice

This is a document with a list of contents, which the supplier issues to the buyer.

It includes information such as name, specification, unit price, quantity, and total cost of the item.

A commercial invoice is vital since it allows foreign buyers to confirm the goods are paid for.

It is also vital in the customs clearance process.

· Packing List

This refers to a document that lists all the details of the consignment.

Often, it is used as a supplementary document of the invoice.

Some of the details in the packing list include packing method, packing materials, quantity, specification, and weight, among others.

· Insurance Certificate

This is a legal document proving the consignment is covered from any imminent damage or loss during transit.

· Certificate of Origin

This document ascertains the products you are shipping were manufactured in the specific country indicated on it.

It is essential, especially during customs clearance.

·  Import License

Depending on the type of product you are shipping, you may be required to produce an import license.

Products regulated or restricted may require you to obtain an import license since it is necessary during customs clearance.

· Test Report

This is usually common when importing different types of machineries.

In many instances, the authorities require a test report document to ascertain it to prove it meets all the required standards.

Determining the Better Shipping option Based on CBM

When shipping your consignment based on CBM, it is always important to figure out the best method to suit your needs.

Ideally, when shipping small parcels, it would be suitable to consider using airfreight.

It is faster and safe for such consignments hence making it cost-effective.

However, if you are shipping a relatively bulky shipment, which is always common with CBM, consider using ocean freight.

It is affordable but comparatively slow compared to other means of shipping, especially airfreight.

Tracking CBM Shipments

Once you have tasked a certain carrier with your CBM shipments, you can always track it throughout the transit process.

Most carriers usually integrate their systems with a tracking system.

Therefore, it becomes easy for you to track the progress of your consignment from the carrier’s platform.

Importantly, ensure you get the tracking number for your consignment.

It is the code you’ll use to monitor the progress of your shipment.

Alternatively, you may consider using third party tracking companies.

In this case, you’ll need to use the tracking code and key it into the third party system.

This way, you will easily track your shipment throughout the transit process.

As you can see from this guide, CBM is an integral element in international shipping.

Therefore, there is a need to make sure you get it right always.

Next time you think of shipping your shipments, ensure you review the CBM of your shipment.

Just in case you have any question, feel free to contact Tj chinafreight team.

What is ISF: A Comprehensive Guide

The U.S government has put stringent measures for goods entering the country to enhance efficiency of the process.

If you are importing goods to the USA, it is always important to know much about ISF.

In this guide, I will explain to you all the fundamental elements surrounding ISF.

You will also know why ISF is necessary when shipping to the USA and how shippers can create ISF documents.

Meaning and Scope of ISF in Shipping

ISF is an abbreviation for Importer Security Filing.

It’s a process, which requires importers or their respective agents to file data electronically with Customs and Border Protection (CBP) for inbound sea vessel shipments.

It is also referred to as “10+2,” described as CBP regulation assigned for ocean cargo imports only.

Essentially, the ISF requires importers to provide 10 data elements to the CBP and two additional documents from the shipping line.

It is required to file the ISF with the U.S CBP 24 hours before sailing from the penultimate origin port.

This data is vital since it enables the CBP and Department of Homeland Security to determine high-risk shipments.

As an importer, you need to send all the necessary data to the United States customs broker before shipping the consignment.

You can create an Importer Security Filing document containing all of the vital information to be passed to various parties.

The Essence of ISF in Shipping

The Importer Security Filing process is a vital undertaking whenever you import goods to the U.S from other parts of the world.

One of the reasons for undertaking this process is to help in detect high-risk shipments.

Most of the time, some goods are always considered harmful as far as health, safety, and environment are concerned.

It thus makes it necessary to ensure such products do not get into the country without any prior certification from relevant bodies.

ISF, therefore, makes it easy to control hazardous materials since it necessitates a prior check.

Another reason for the ISF in shipping is to enable the Department of Homeland Security and CBP to prevent smuggling of goods.

From the information you provide when filing the ISF, the security agents will detect any possibility of smuggling restricted goods.

Ostensibly, ISF gives the Customs and Border Protection a head-up whenever there is a potentially high-risk shipment en route to the U.S.

Therefore, it enhances the overall safety of the U.S borders.

Circumstances under which ISF is needed

Ideally, ISF only affects shipment getting into the U.S via ocean vessels.

It thus implies that cargo entering within the U.S borders through other means of transport such as air freight is not affected.

You will also need to complete the ISF process when importing relatively small cargo.

In essence, the ISF hardly applies to bulk cargo.

Types of ISF Available

ISF requires you to submit electronic digits of ten, two, and five data elements.

All these data elements depend on the specific type of shipment or party filing.

a) 10 + 2 ISF

This refers to a filing with a set of 10 data elements required to conform to the rules and regulations for products imported into the U.S.

The first 10 data elements in this type of filing are your responsibility as the importer.

You must thus file it within 24 hours before cargo is loaded aboard a vessel ready for delivery to the U.S.

The shipper handles the other two data elements containing container status messages and a vessel stow plan.

Similarly, these shipper data elements are also needed within 24 hours before the arrival of the vessel at a specific U.S port.

b) ISF 5

It entails FROB (Foreign cargo remaining on board), I.E, and T&E consignment needs only five data elements.

The data element in this type of filing includes;

  • Booking party – Name and address of the entity initiating reservation of cargo space for shipment.
  • Foreign port of unlading – Plan K port code is acceptable
  • Place of delivery – The foreign location where the shipper’s role in transporting the items ends.
  • Ship to party – Name, and address of first deliver to the party planned to physically receive the goods once released from customs custody.
  • HTS number – Not necessary to file in the bond filing before ISF

Basics of ISF Filing

When importing to the U.S via ocean freight, it is necessary to compliantly and efficiently to get your imports approved.

Some of the fundamentals you need to know regarding ISF filings include the following;

  • All ISF filings are carried out electronically
  • Where applicable, corrections or adjustments must be made before the items dock at U.S ports
  • The party submitting the ISF filings is the only one that can make the changes

Since inception of ISF in 2009, it has undergone several changes in terms of updates and modifications.

Some of the vital updates since then include the following;

  • The leniency method is over. It thus implies that in ISF, you only have three strikes, and you’re out.

In other words, ISF filings into additional filings are now subjected to fines.

  • A consignment may be detained for inspection where applicable. The citations that the CBP issues for ISF infractions result in fines.

In case you fail to file or incorrect file your ISF filing, you will have to pay if you obtain a citation.

In many instances, the ISF citations often cost approximately $5000 per violation.

And for every late or incorrect ISF filing, the maximum payable fine is $10 0000.

However, commodity import paperwork and other requirements of the CBP or any government agency can be handled by a licensed customs broker.

Here are some of the vital documents that must always be included;

  • A commercial invoice listing the cost of the items, country of origin, and tariff classification.
  • A packing list, which outlines all the items you are importing
  • A bill of lading listing all the items you are importing in the form of a receipt
  • An arrival notice from a licensed U.S agent

Technically, working with a licensed customs broker is the ideal way of making sure your ISF documents are filed correctly.

And this goes a long way in enabling you to avoid unnecessary fines, which apparently tend to be quite costly.

Required Data Elements for ISF

An Importer Security Filing document must contain 10 fields of information filed by the importer or supplier.

These data elements include the following;

1. Seller Name and Address

This refers to the name of the last known entity by whom the products are sold or agreed to be sold.

If you have to import the commodities otherwise than pursuing a purchase, the name and address of the owner of the goods must be provided.

Generally, you can find the name and address of the seller on the commercial invoice.

2. Buyer/Importer Name and Address

This is the name and address of the last known party to whom the commodities are sold or agreed to be sold to.

In case importation of goods is otherwise than in pursuance of purchase, name, and address of the owner of the goods must be provided.

The importer or buyers’ information can also be available on the commercial invoice.

In case the items are sold while the shipment is in transit and buyer’s information changes, the ISF must be amended accordingly.

3. Importer of Record number EIN/IRS Number

This can be described as EIN, IRS number, Social Security number, or Customs assigned importer number.

This number is usually assigned to the entity accountable for payment of all duties incurred during importation.

The entity is also responsible for meeting all regulatory and statutory requirements arising from importation.

4. Consignee Number

This includes the Social Security Number, EIN IRS Number, or Customs assigned imported number of the entity importing the consignment.

It could be an individual or company in the U.S on whose account the merchandise is shipped.

5. Manufacturer/ Supplier Name and Address

This is the name and address of the entity that manufactures, produces, grows, or assembles the product.

It could also be the name and address of the entity supplying finished goods in the country of origin.

You need to understand that for textile products, the customs broker must have the actual manufacturer to facilitate entry purposes.

6. Ship to Party

It contains the names and addresses of the first deliver-to-party planned to physically obtain the products after being released from Customs custody.

There is a notion in customs that this information provides predictability to targeting.

Where ship-to party is unknown, the facility where the items will be delivered can be reported.

If there are numerous delivery stop-offs, then it’s only the first one that shall be reported.

7. Country of Origin

This is merely the country where the goods are manufactured, produced, or grown.

It is the same information declared on the customs entry.

8. Harmonized Tariff Schedule Number

This is a specific tariff number under which the product is categorized in the HTSUS.

The ultimate rule needs six digits, but customs often accept eight digits or, in some instances, the entire 10 digits HTS Number.

In essence, it implies that all products must be pre-classified accordingly.

9. Container Stuffing Location

This entails naming and address of the physical location where items were stuffed into the container before leaving for the U.S.

In case of breakbulk shipments, you must provide the name and address of the physical location where products were declared read-to-ship.

A planned stuffing location is also acceptable, but the ISF must be amended once you establish the actual stuffing location.

Ideally, the broker doesn’t necessarily need to report where a specific container was stuffed.

10. Consolidator

This comprises the name and address of the party responsible for stuffing the container or organized for stuffing of the same.

For break bulk shipments name and address of the entity that declared the items ready-to-ship must be provided.

Additionally, there are +2 data elements, often the responsibility of the steamship line. They include

  • Vessel stow plan
  • Container status message

Notably, the manufacturer/supplier, country of origin, and HTS number must be interconnected at the ISF line item level.

Customs only allows filing or entry summary concurrent with the ISF.

The Cost of ISF Filing

Generally, the ISF filing fee is usually included as part of customs clearance charge.

It thus means the cost takes care of lodging in compliance with CBP’s 10+2 advance cargo reporting requirements.

In a nutshell, the cost often varies depending on a wide range of prevailing aspects.

ISF Filing Fee Tips

When filing ISF, you need to be thorough with the process.

CBP has the mandate to impose a hefty fine on late filing if you fail to the information at least 24 hours before the shipment is loaded.

Therefore, never hold back on filing because you don’t have the required information.

Understandably, you may update the information right up until the moment the cargo arrives in the U.S.

Another instance is CBP may decide to carry out a thorough inspection of your goods hence increasing the total cost.

The total cost may run into several hundred or, at times, thousands of dollars even for relatively small shipments.

Moreover, any delivery delay may result in additional costs.

Therefore, ensure you include a clause in your supply contract compelling the supplier to take responsibility for the cost if they are at fault.

To avert costly deliveries, ensure your forwarder files for customs entry prior to arrival of a ship at the port.

Also, ensure the entries on the commercial invoice, ocean manifest, and ISF are all identical.

Understanding ISF Bonds

ISF bonds are a guarantee from the surety entity to the U.S government.

This surety outlines the importer’s willingness to faithfully and timely abide by all the stipulations governing importation of goods into U.S.

An ISF bond is not designed to shield the importer nor relieve the importer of any of their rightful obligations.

The surety company, by bonding the importer, assumes similar roles and duties of the importer.

In case the importer fails to honor any condition of the bond, the surety is compelled to do so instead.

Finding a Customs Broker for ISF

Ultimately, it is always advisable to seek assistance or services of a licensed customs broker to help you in ISF process.

There are several ways you can use to find a suitable one. However, the ideal ways you can always use to find reputable customs brokers include the following;

· Online Search

Ideally, the first place to look for a potential customs broker for ISF is on the CBP website on the customs brokers’ page.

This platform lists all the customs brokers certified by CBP.

It also organizes them depending on your desired port of entry in the U.S.

· Referral

You may also find a customs broker through referral.

Most of your business partners and acquaintances have details of the customs brokers always helping them out with ISF needs.

In short:

As you can see, ISF is a relatively fundamental process in international shipping.

Most importantly is to always ensure you file the correct documents within the right timeframe.

Our company is always ready to assist you with all aspects revolving around ISF process.

Feel free to contact us if you need more information, and we will be ready to assist.

China Leather Market: The Ultimate FAQ Guide

If you’re looking to visit or buy from China leather market, then read this guide first.

It will help you save time and money, besides, finding better deals, knowing how to check the quality of shoes, amongst others.

Let’s take a look.

How Big is China Leather Market?

China leads not only in the production but also exportation of leather globally.

More than 6.15 billion sq ft leather is produced every year in China.

In 2020 alone it is estimated that the sale revenue from luxury leather products amounted to $7,243m.

On the other hand, revenue from leather footwear has grown in the year 2020 mounting to $9759.

This quite much explains why China remains to top the production of leather globally.

Which are the Leading China Leather Markets?

There are several leather markets in china some of the leading markets including;

  • Guangzhou Baiyun World leather trading Centre
  • Guangzhou Hongsheng Nations Leather Hardware Market
  • Fair Price Leather wholesale market
  • Huadu Shiling International Leather City
  • Yi Sen Leather Market
  • Leather products Wholesale market of Baigou
  • Leather products wholesale market of Hehuachi Si Chuang
  • Xiangmao Leather city
  • Zhonggang Leather City
  • Xiangsheng Leather City
  • Xiangtian Leather city
  • Guihua Gang Leather bags market
  • Guangzhou Leather market
  • Leather product wholesale market of Yiwu, Zhenjiang
  • Nantai Bags and Cases Leather products wholesale market of Liaoning
  • Zhuolong Leather Wholesale Market
  • Qianse Leatherwear Wholesale Market
  • Shengyi Leather Market
  • Parklane Leather City
  • Jinyi Leatherware Plaza
  • Yifa Leather City
  • Mingju Leather Trade Center
  • Tianhong Leather City
  • Senmai Leather City
  • Ziyuan Leather Mall
  • Shengjia Leather Center
  • Xingan Leather World

Can you get Luxury Good in China Leather Market?

Yes, you can get luxury products in China leather market.

Some of the well-known brands such as Prada, Dolce & Gabbana, Burberry have their production done in China.

China has several luxury leather markets that sell a diverse range of products.

Therefore, be ready to be spoilt for choices in the market.

Which Leather Product can you Import from China Wholesale Market?

You can import any type of leather product you could think of from China.

Here are some of the leather products you might consider importing from the China Wholesale Market.

  • Shoes
  • Bags
  • Belts
  • Wallets
  • Apparel
  • Furniture cover
  • Watches

Why should you Buy from China Leather Market?

There are several reasons why most importers choose to import leather from china and not from other countries.

One thing you need to understand is that every importer seeks to get quality products at the lowest price possible.

This is purposefully meant to ensure that the business profits are increased while at the same time remain credible to their customers.

That said, China stands to be a suitable option for most leather importers.

Let’s have a look at some of the reasons;

  • Affordability – Most if not all goods produced in China are sold at relatively affordable prices.

You could easily buy a product and sell it three times more than the buying prices.

The lower prices of products are due to the lower labor costs and availability of raw materials.

  • Customization –When planning to import from China, you might choose to seek customization services for your products.

Most Chinese manufacturers are willing to customize your leather products to meet your tastes and preferences.

  • Quality – Quality is very critical in ensuring that your business remains credible to your customers.

You are bound to come across both qualities as well as low-quality products in China.

The key here would be to do your research thoroughly and work with the right people.

Also, be aware that manufacturers are not the right people to seek advice on the quality of your leather.

In as much as you might think they are the best fit for this, they aren’t.

Most expect you to provide details and instructions on your preferred leather selection.

Failure to do so might result in disappointments later after production.

  • A diverse range of leather designs – Any type of leather product you could think of can easily be sourced from China leather market.

Whether you want leather bags, shoes, belts, or watch just to mention a few you can find from the several available leather markets.

  • Availability of raw materials –The availability of raw materials for leather products is one of the top reasons that result in affordable prices.

Not to mention that you won’t have to worry about the delay of raw materials being imported as they are readily available.

  • Uniqueness – Most of the Chinese manufacturers and suppliers follow emerging trends in the leather industry.

Therefore, expect to come across several unique leather products in the market.

  • High-profit margin –Leather products in China are cheaper as compared to purchasing from other countries.

You can purchase leather and sell thrice the buying price thereby increasing your profit margins.

However, you also need to be aware of scammers who purport to be selling genuine leather.

Not all leather is genuine and not all expensive leather is genuine.

Get me right, some of the scammers are smart and will present higher prices for fake leather.

Therefore, it’s important to do your research well before embarking on your purchasing process.

If not, hire an expert to source leather products for you.

What Types of Leather can you Import from China?

Any type of leather can be imported from China. Let’s have a look at some of them;

  • Split leather
  • Full-grain leather
  • Corrected grain leather
  • Top grain leather
  • Nubuck Sueded grain leather
  • Bonded or fiber leather
  • Bicast leather

Do you need a Sourcing Agent When Importing from China Leather Market?

No, you don’t need a sourcing agent when importing from China leather market.

However, if you are a newbie in the business a China sourcing agent will be of importance in several ways that I’m about to explain.

If you choose to do all the sourcing by yourself ensure that you carefully study the market before indulging in making your purchases.

Here are some of the benefits of hiring a sourcing agent when importing leather from china.

  • Avoid being scammed –Sourcing agents are experienced and skilled in what they do in a manner that they can easily spot a scammer.

This way you don’t have to worry about being ripped off while sourcing for your leather products.

  • Help you navigate the market effectively – Knowing which market is best for what and the best suppliers for your product is key.

Sourcing agents will save you time when trying to get the right market for your leather products.

  • Negotiate prices on your behalf –Owing to their vast network and experience, sourcing agents have the skill to effectively negotiate prices with different suppliers.
  • Source product on your behalf – Working with a sourcing agent allows you to continue with your daily routines as they handle all your purchasing processes.
  • Identify suitable manufacture or supplier – Identifying the ideal manufacturer for your products would be the first step of your importation process.

Some importers find it quite challenging as there are several manufacturers in the market.

Sourcing agents can identify a suitable manufacturer without much hassle as they have established networks with several of them.

  • Break language barrier –China is one of the countries where English is not known by many and this might have a major impact on your sourcing process.

To avoid this, you can choose to hire a sourcing agent to purchase your selected products on your behalf.

By so doing, you not only save time but also avoid misunderstanding during your purchase.

How do you get the Best Prices from China Leather Market?

The good thing about shopping in China leather market or even any other Chinese market is that it’s easy to get the best prices on items.

Therefore, most importers flock to the market intending to buy quality products at the best prices.

What most importers won’t tell you is that you need to be extra skillful when purchasing in these markets.

By this I mean you not only need to be knowledgeable on how Chinese suppliers operate but also how to get the best prices.

Here are some important tips for you;

  • Bargain – Some importers are easily lured to fast buying due to the already affordable quoted prices on products.

This is a big mistake if so you are looking forward to buying at the best prices.

Often, the prices quoted are achieved after the supplier has considered the bargaining rate of the customer.

Therefore, it’s very important to always bargain.

I recommend that you start from lower than half the price quoted and negotiate your way to reach equilibrium.

  • Buy directly from the factory – Another trick to land at unbeatable prices would be through making direct purchases from the factory.

Most Chinese leather manufacturers are not mean when it comes to offering larger discounts on bulk purchases.

You will be surprised at how much profit you might end up earning from doing this.

Remember, buying directly from the factory also eliminates middlemen and thus reduced prices on products.

  • Make bulk purchases – Buying in bulk is advantageous as you are more than likely to get discounted rates on your purchases.

The more you buy the more the discount you get.

How do you Ship from China Leather Market?

Shipping from the China Leather market shouldn’t be such a hassle.

One advantage of importing from China is the flexibility in shipping as it has several ports.

There are four main methods through which you can ship leather from China;

The choice of your shipping method will depend on these three main factors;

  • Distance – Air and sea freight are ideal for longer distances.
  • Urgency –Air freight being the fastest of them all is suitable for transporting urgent goods.
  • Size of shipment –Sea freight is a suitable method to use if you are importing bulky goods and want to save on costs.

That said, Air freight is the fastest yet the most expensive of them all.

Owing to this it is not preferred by most big exporters due to its high prices.

Most importers use sea freight as not only is it cost-effective but also suitable for transporting bulky products.

The only disadvantage of using sea freight is that it is the slowest of them all.

Therefore, you will have to wait several days or weeks before receiving your products.

Alternatively, you can choose to use rail transport as it is faster than sea freight and less costly than air freight.

The use of rail freight will mostly apply to countries that border China or are connected to China via a railway transport network.

Road freight is always present in any type of importation.

Remember, you will need to transport your goods from the supplier/ manufacturer to the warehouse.

Thereafter your goods can be packed and shipped to the stated destination.

Are there Quality Standards for Leather Product from China?

Yes, there are quality standards for leather products from China.

Let’s have a look at some of them below;

  • The leather product should have a genuine leather mark that certifies the quality of the leather product.
  • Any leather product should undergo chemical testing.

Chemical testing is meant to identify certain restricted chemical substances in leather products.

  • Leather products should comply with international inspection quality tests. Some of the compliance inspection quality tests include
  • Physical test
  • Ignitability tests
  • Fastness tests
  • Comprehensive analysis
  • Individual chemical test
  • Microscopy
  • Specialist leather testing
  • Biochemistry and microbiology test

How do you Verify Quality in China Leather Market?

Quality verification is key if so you want to remain reliable to your customers.

To achieve this, here are some tips for you.

  • Check out for quality marks –Quality marks confirm that the product has undergone testing and inspection.

Thus, they meet all the required quality standards.

  • Quality leather has natural rough edges as opposed to smooth and perfect edges seen in fake leather.
  • You can identify quality leather just by taking a whiff.

Quality leather always has a smell that can’t be replicated.

You could first test with some of the leather items you have and identify the distinctive smell of leather.

  • Study the pores and patterns in the leather.

The pores and patterns in quality and real leather will be inconsistent.

Low quality or fake leather will have consistent pores and patterns that appear to have a repetitive pattern.

  • Check the label and confirm if it has any “manmade materials” writing on it as this is a clear indication that it’s not quality leather.

Also, beware of leather products with no label as they might be made of low quality or fake leather.

What Challenges will you Encounter when Buying from China Leather Market?

Just like any importation process, you are bound to encounter some challenges. Some of the shortcomings you might encounter when buying from China leather market are not limited to;

  • Language barrier –The language barrier is one of the major challenges because China is a non-English speaking country.

To make your work easier, you might either choose to use a sourcing agent or translator during your buying process.

  • Low-quality products – When planning to buy from China markets expect to find both quality and low-quality products.

This includes leather products.

To evade purchasing low-quality products, do your due diligence and research about your product.

Seek to identify the key players in the market together with their reviews. By this, I mean known suppliers or manufacturers.

Alternatively, you can take the shorter route and hire sourcing agents to take care of all your sourcing procedures.

  • Scammers– Just like any market, expect to come across scammers when buying from China leather market.

You can easily identify a scammer by checking the product price.

Too good to be true prices should be an instant red flag.

  • Unavailability of some products on stock – Keep in mind, not all suppliers keep stock of their products.

Some might require you to make order days or weeks before you receive your leather products.

This in turn causes delays in your business.

Are there Restrictions on Leather Imports from China?

Yes, there are. This mostly depends on your country’s regulations.

The restrictions mostly differ from one country to the other.

It’s important to confirm your country’s restrictions before importing leather from China.

How does Freight Forwarder Help you Import from China Leather Market?

Freight forwarders make your importation process much simpler and easier due to the following reasons;

  • Identify storage space for your goods – Freight forwarders are responsible for identifying the proper storage of your products.

Not to mention that they also pick your products from your supplier or manufacturer and transport to the selected warehouse.

  • Handle your custom clearance procedures – Custom clearance is often a very hectic procedure.

This is when you are required to present all your documentation.

Freight forwarders make your work easier by handling all these on your behalf leaving you to continue with your daily routines.

  • Versatility – In case you decide to make any changes, freight forwarders are quick to adapt.
  • Cost-effective – Owing to their experience in the field freight forwarders have established connections and this helps them get better rates.
  • Timely delivery of goods –Freight forwarders plan routes taken by the freight and work on a strict schedule to ensure timely delivery of goods.
  • Freight forwarders also help in selecting the packaging equipment for your products.

Do Suppliers in China Leather Markets have Flexible MOQ??

Yes, they do. You can always negotiate MOQ with your supplier more so if it will be of mutual benefit.

However, you need to understand that most suppliers find it difficult to lower their MOQ.

Therefore, you need to have a good strategy to convince them.

Also, the MOQ might differ from one supplier to the other due to the following factors;

  • Size of products –The smaller the size the higher the MOQ and vice versa.
  • Customization – Customized products will attract a higher MOQ.
  • Type of product –Cheap products such as pens will have a higher MOQ.
  • Availability of raw materials – Subcontractors might request a specific number of orders on the raw materials which in turn leads to an increase in MOQ.
  • Factory size – Bigger and established factories often quote a higher MOQ on their products as compared to smaller factories.

Who are the Leading Leather Suppliers in China?

With several leather suppliers in China, it might be difficult to identify your suitable or best suppliers.

To make your work easier, here are some of the leading leather suppliers in China;

  • Guangzhou Huashone PU Leather Co.Ltd
  • Jiangyin LaishunPlastic company
  • Wenzhou Haoshan Import & export Co.Ltd
  • Wenzhou Simple Trading Co.Ltd
  • Sole World Material Co.Ltd
  • Jiangsu Albrich Textile Co.Ltd
  • Wenzhou Fangchi International Trade Corporation Ltd
  • Yobon industrial Limited
  • Ningbo K.G International Trade Co.Ltd
  • Guangzhou Dashang Leather Technology Co.Ltd

Is there Online China Leather Market?

Yes, there is.

With the current trends in technology, most manufacturers and suppliers are expanding their operations towards online platforms.

If you don’t wish to physically visit the market, here are some of the online platforms that you might consider sourcing from;

  • Alibaba
  • Dhagate
  • Made In China
  • Global Sources
  • Chinabrands
  • Lightinthebox

How do you Pay Suppliers in China Leather Market?

China suppliers accept a wide range of payment options not excluding;

  • Telegraphic transfers – Telegraphic transfers are one of the widely accepted payment methods in China by most suppliers.

However, the risks will be borne by both you and the suppliers.

For this reason, most suppliers request for deposit in a bid to lower their risk.

  • International Credit Cards – International credit cards are not broadly used in China owing to the risks involved.

Not forgetting that International credit cards are often prone to scammers and therefore you will also be at risk.

This makes most suppliers have low trust in using them.

  • PayPal– Payment using PayPal is mostly suitable for small purchases.

Also, it’s not widely accepted by most suppliers owing to the high amount of fees involved.

  • Letter of Credit – Letter of credit would be the best payment option when making huge purchases.

Not to mention that it is secure for both you and the supplier and thus widely accepted.

  • Western Union –If you are making small to medium-sized transactions, Western Union would be the ideal option for you.

However, it’s important to factor in the high risks involved.

Ensure that you trust your supplier before making any transactions through western union as there is little protection once a transaction is made.

  • Cash – Cash payment would be a risky payment method for the buyer in case you are dissatisfied with the goods.
  • Online escrow – Online escrow works by allowing the buyer to send payment which is then withheld by a third-party until the set terms are met.

To ensure the effectiveness of this payment method, verify the conditions surrounding quality, product design, compliance, and quantity.

When is the Best Time to Buy from China Leather Market?

When planning to buy from China leather market it’s important to check on the Chinese calendar.

This will help you know when the public holidays are held.

Try to avoid these dates as most businesses remain closed during such periods.

Also, most shops open from as early as 9.30 am and close at 6 pm.

Arriving at the market shortly after opening time gives the vendors time to clean and prepare their businesses.

Leave before closing time preferably from 3 pm or 4 pm to avoid being caught up in traffic.

What Documents do you need to Import from China Leather Market?

Documentation is an important aspect of the import-export business.

Some of the documents that you will need when importing from China leather market are not limited to;

How do you Identify Fake Leather from in China Leather Market?

Having the skill to determine the credibility of leather is important especially as a business person.

This will not only ensure the credibility of your business but also enhance your business growth.

If you don’t have the skills to do so, here are some tips for you;

  • Check the edges. Real leather has rough edges while fake leather tends to have perfectly done edges
  • Dot the fire test. Light up a flame near the leather and observe the reaction and smell.

Real leather smells like burnt hair while artificial leather will have a burning plastic smell.

  • Another quick way to test for leather would be through smell.

First, you need to have smelled real leather to know the difference.

Therefore, go to a store that you know sells real leather and smell it then you will have an idea of what to check out for when testing leather.

Alternatively, if you have any leather product you could smell it beforehand.

  • Be observant of the pricing. Real leather is always pricier as compared to fake leather.

Any too good to be true prices should be a red flag.

It’s hard to find cheap genuine leather and additionally, most leather is sold at a fixed price.

  • Splash some water on the surface of the leather and observe the absorption rate.

Genuine leather absorbs some water while fake leather doesn’t.

  • Check the weight as genuine leather weighs heavier as compared to fake leather.

Color shouldn’t be a determinant when confirming the realness of leather.

There is colored leather that is genuine and therefore it’s important to focus on the above-listed checks.

How much Duty will you Pay to Import Leather from China?

The import duty charged when importing leather from China ranges from 5% to 7%.

This mostly depends on the animal used as different animals will provide different types of leather.

At Tj chinafreight, we help you save on cost and time when importing from China leather market.

We will handle all logistics – including customs clearance, warehousing, and offer free shipping containers.

Additionally, we help you book space when shipping – and all these at affordable rates.

Contact us today to boost your leather business.

What is TEU: A Comprehensive Guide

If you are relatively new to the shipping business, you’ll come across some across the list after a list of several ocean freight acronyms.

This, however, doesn’t imply that the shipping industry is complex and convoluted.

In this guide, I will take you through one of the most basic but common acronyms in the shipping world known as TEU.

Let’s dive deeper and get to know more about this acronym;

Meaning of TEU in Shipping Terms

TEU is an abbreviation, which stands for the Twenty-Foot Equivalent Unit.

Primarily, TEU refers to the unit of measure based on the dimensions of a 20-foot standard container.

In other words, TEU refers to an internationally standardized unit used for counting the standardized ISO containers.

The dimensions of a standardized 20-foot container are 8.5 feet high, 8 feet wide, and 20-feet long.

These measurements represent an approximate volume of 38.5 cubic meters.

TEU is also a unit used in calculating the volume of containers loaded on a vessel or stored at a terminal.

Moreover, this unit also serves to calculate the loading capacity of a particular container ship.

Most of the container ship operators also depend on TEU to formulate their specific transport capacity.

Simply put, TEU in anything and everything ranging from determining merchandise and cargo capacity on shipping vessels.

It is also useful when it comes to selecting the type of container to help in determining the port activity.

History of TEU

When discussing TEU, it is always vital to understand how this universal unit of the measure came about.

Moreover, knowing the person who invented it and how it applies currently in the shipping world is also fundamental.

Principally, understanding the history of TEU is similar to comprehending the history of shipping containers.

TEU influenced how shipping containers became standardized.

Malcolm McLean is the person behind the invention of TEU.

He was an entrepreneur who realized that cargo loading and unloading in the early 1900s was quite challenging and time-consuming.

Back then, a structured system was hardly in place.

Goods in different forms were being moved across different forms of transportation one by one.

The cargo was also loaded and unloaded onto and from different shipping vessels using the same approach.

The entire method was inefficient; hence McLean saw the need for finding a better approach to streamline and standardize the process.

And this is where the concept of creating and using standard-sized containers for hauling cargos came into realization.

Containers became efficient in transporting cargo both on trucks and ships without loading and unloading it each time transportation mode changed.

Even so, McLean’s containers measured 35-feet long, whereas his competitor’s measured 24-feet long.

It is this discrepancy that became more challenging to the US government, which had the interest to ship more efficiently.

And this is what led to the standardization of the shipping containers we currently use.

20-foot and 40-foot were devised later on as the standard shipping containers.

This was after two rounds of standardization by ISO in 1968 to define container classification, dimensions, and identification

At this point, the 20-foot went to known as Twenty-Foot Equivalent Unit hence TEU we have today.

Comparison between TEU and FEU

A Twenty-Foot Equivalent Unit (TEU) refers to a shipping container with internal dimensions measuring about 20 feet long, 8 feet wide, and 8 feet tall.

TEU can hold between 9-11 pallets depending on whether they are standard or EUR pallets.

A Forty-Foot Equivalent Unit (FEU) refers to a shipping container with internal dimensions measuring about 40 feet long, 8 feet wide, and 8 feet tall.

FEU can hold between 20-24 pallets depending on whether they are standard or EUR pallets.

Both TEU and FEU are used to describe the container size.

Additionally, TEU and FEU are also used as a measure to standardize the amount of cargo volume being referenced.

Key Aspects of Understanding TEU

Several fundamental elements revolve around TEU.

Such aspects help in understanding the role and efficiency of TEU in shipping.

These aspects include the following;

  • TEU is the unit for counting the shipping containers irrespective of their dimensions.
  • A standard container typically counts as 1 TEU.
  • A 40-foot container corresponds to 2 TEU
  • Containers bigger than 40-feet, such as 45, 48, and 53 feet in length, corresponding to 2, 2.4, and 2.65 TEUs, respectively.
  • The essence of TEU invention was to facilitate the calculation volume of ships equipped with slots for 40-feet containers.

Technically, these slots can stock two 20-feet containers.

  • High cube containers and half-height containers count as 1 TEU.

How to Calculate TEU

The formula for calculating TEU is relatively simple.

All you need is to divide the length of the container in feet by 20.

This will enable you to get the TEU units, which also allows you to calculate the cost of shipping for your containers.

Versatility and Practicality of TEU

In the present shipping world, TEU plays an integral role.

It is the unit of measurement for the most popular types of shipping containers.

Moreover, it is also used to determine the vessel size and capacity and calculate the overall port activity.

The size of vessels varies hence categorized by different names depending on their TEU capacity.

For instance, some of the largest containerships in the world today have a carrying capacity of over 14,000 TEU.

On the other hand, the smaller feeder vessels can manage a capacity of 1,000 TEU.

Here is a list of how vessel sizes are commonly classified based on their TEU capacity.

  • Small feeder – up to 1,000 TEU
  • Feeder – Between 1,000 to 2,000 TEU
  • Feedermax – Between 2,000 to 3,000 TEU
  • Panamax vessel – Between 3,000 to 5,000 TEU
  • Post panamax vessel – Between 5,000 to 10,000 TEU
  • New Panamax vessel – Between 10,000 to 14,500 TEU
  • Ultra Large Container Vessel – 14,500 TEU and above

Presently, the largest shipping vessel is Swiss-Italian owned carrier know as MSC.

It measures 400m long, 61.5m wide, and 33.2m high.

This vessel can hold up to about 23 756 TEUs.

TEU in Figures

Understanding TEU in numbers is vital in knowing how the shipping world conducts its business.

Ideally, in 2017 there was a representation of close to 753 million TEUs in the world traffic of containers.

Maersk, a Danish company regarded as the biggest container ship operator globally, had a capacity of almost 3.3 million TEUs in 2017.

Mediterranean Shipping Company (MSC), a Swiss-Italian shipping company, had a capacity of 3 million TEUs in 2017.

CMA CGM, a French-based shipping company, came third with a capacity of 2.1 million TEUs in that same year.

Over time, container ships tend to get bigger and bigger, with the capacity increasing every passing year.

Top Busiest Container Ports in China

During the calendar year, Chinese ports have been leading in handling containers in the world.

1. Port of Shanghai

It is arguably the busiest port in China and is regarded among the busiest one in the entire world.

In 2019, this port recorded a throughput of 43.3 million TEUs.

This port is located in Shanghai Municipality, East China.

2. Port of Ningbo-Zhoushan

This port is also considered among the leading busiest ports in the world.

In 2019 it handled a container capacity of 27.54 million TEUs.

It is located in Ningbo & Zhoushan, Zhejiang province, China.

3. Shenzhen

This port is situated in Shenzhen city, Guangdong province.

It consists of different ports along the coastline of Shenzhen, which collectively form this busy and fast-growing container hub.

In 2019 it handled a container capacity of 25.77 million TEUs.

4. Port of Guangzhou

This is the main seaport located in Guangzhou city, Guangdong province.

In 2019 it recorded a container capacity of 23.22 million TEUs.

5. Qingdao Port

This port is located on the Yellow sea within the vicinity of Qingdao in Shandong province.

It is among the fastest-growing and busiest ports in China.

In 2019, Qingdao port handled a container capacity of 21.01 million TEUs.

6. Port of Hong Kong

Thus port is situated in the South China Sea.

It is dominated by business in containerized manufactured products.

In some instances, it is often referred to as the Victoria Harbor.

In 2019, this port recorded a container capacity of 18.3 million TEUs.

7. Tianjin Port

Formerly known as Port of Tanggu is the largest one in Northern China.

It is also the main maritime gateway to Beijing.

It handled a container capacity of 17.3 million TEUs in 2019.

The essence of TEU in Shipping

TEU is vital in a variety of aspects surrounding port and shipping activities.

Some of the advantages of TEU in the shipping world include the following;

· Offers Possibility of Traceability

TEU makes it easy for you to track your cargo from the port of loading to the destination port.

It hence essential since you’ll know the status of your consignment when in transit.

This way, you can easily arrange with your customers to know the precise time to start the distribution process.

· Offers Protection

The construction design of all containers entails a lockable door.

This is significant since it guarantees the safety of your cargo inside the container throughout the transit process.

The essence of this is it gives you peace of mind knowing you will receive your goods as they were packed from the supplier.

Moreover, the material used for constructing the containers is also weather resistant.

Thus it offers protection to your cargo from unfavorable weather and environmental conditions.

· Easy to Regulate the Atmosphere

The use of containers in shipping makes it easy for you to determine the specific atmosphere suitable for your goods.

You can choose to ventilate, refrigerate, or heat the container to provide the necessary conditions that fit your items’ needs.

· It is Intermodal

You can easily ship containers by freight trains or trucks.

This usually happens mostly during inland transportation, where trucks and trains aid in moving containers to respective warehouses.

In essence, this enhances convenience, thus making it ideal for you to receive your cargo to your respective destination effectively.

· Offers Stacking Capability

It is easy to stack containers when loading on a vessel.

You can stack up to eight containers, especially when you are using a forklift.

It is also possible to load the containers on the vessel with mobile cranes, boom lifts, or gantries.

Difference between TEU and Ton

In the USA, a ton refers to a unit of measuring weight equal to 2000 pounds.

In other parts of the world, tonne is equal to 1000 kilograms or approximately 2204 pounds.

On the other hand, TEU is a standard shipping container that is twenty feet long, eight feet wide, and eight feet high.

Most containers can take up to 28 tons.

However, weight restrictions on local roads may determine the precise tons your container can have.

An ideal way of figuring out this is to find a reliable and reputable freight forwarding company.

This way, you will be advised regarding the rules and regulations surrounding TEU weight and any related aspect.

The container always has a tare and max gross weight indicated on it.

When loading the container, therefore, you need to ensure it is undertaken with the utmost care and attention.

The essence is to help in attaining uniform weight distribution.

Measures should also be taken to make sure the cargo does not shift or move when in transit.

A competent freight forwarder will always come in handy in such incidences.

Eventually, you’ll attain the best overall results and a remarkable shipping experience.

As you can see, TEU plays an essential role in the overall shipping process.

It is always important to get this information to guide you in knowing the different aspects of the shipping world.

You can use TEU for shipping different types of items, including heavy machinery.

However, you must also consider safety since it is paramount when it comes to shipping.

If you have any inquiries regarding TEU and related services, feel free to contact us.

We are always available for help – contact us now.

How to Import Toys from China: The Complete FAQ Guide

I know you want to import toys from China.

Or, you’re looking for more information about the China toy market.

That’s why this guide will answer all questions you have been asking about importing toys from China.

Whether you want to know the various markets, importing documents, requirements, or quality certifications, you will find everything in this guide.

Keep reading to learn more.

How Big is China Toys Wholesale Market?

China’s toy market is so big that the factories for toys are located in different geographical areas.

This is mainly according to the different types of toys they produce.

You must research and have a list of the China toy manufacturers and the appropriate market before purchasing the toys.

The toys wholesale market that you will find in China include:

  1. Yiwu toys wholesale market.
  2. Guangzhou toys wholesale market.
  3. Zhengzhou toys wholesale market.
  4. Baigou plush toys wholesale market.
  5. Yunhe wooden toy market.
  6. Yangjiang and Wutinglong are known as international toys and gift city.
  7. Shantou China toy market.
  8. Lingyi Yongxing China toy market.

Is it Safe to Buy Toys from China?

Yes, it is safe to buy toys from China.

However, it’s crucial you know some toy-buying basics.

To ensure that you are buying quality toys, you should avoid toys that contain lead, bisphenol A(BPA), and polyvinyl chloride (PVC).

Look for the following features to be sure you are buying safe baby toys:

  • The toys should contain an ASTM international label to ascertain that they have met the US safety standards.
  • You should ensure that the toys have a 100 percent PVC-free label.

The label is the best way for you to guarantee that the toy does not contain harmful phthalates.

  • It will be a great label if you choose wood or bamboo toys as they do not contain any chemical-filled plastics.
  • You may also avoid toys made from organic cotton or hemp material, as conventional cotton is unsafe due to being heavily sprayed with many chemicals.

How do you Get the Best China Toys Prices?

To get the best China toys prices, you can use the following three tactics:

  • Bulk buying
  • Buying directly from the manufacturer
  • Market research

Also, remember to use a sourcing agent.

They will help you get the best toy prices in China.

Guess what – China toys suppliers like long term cooperation.

So, if you’re working on a long-term partnership, Chinese toy manufacturers and suppliers will definitely offer the best prices.

More importantly, learn the art of negotiating for the best prices.

What are the Quality Certifications for Electronics Toys from China?

Some of the quality certifications required for electronic toys from China include:

  • CNCA-C22-02:2020
  • GB 19865
  • GB 6675.1
  • GB 6675.2
  • CCC
  • RoHS
  • CE
  • UL
  • REACH Regulations
  • CPSC Requirements

You should buy toys that have passed all the test safety standards.

Remember, different geographical locations may have varying safety toys standards, and requirements.

Which Types of Toys can You Import from China?

You can import virtually all types of toys from China.

Any types of toys you think of; China’s toy market offers the perfect solutions.

Even if you want your new designs, you will get all the toys in China.

Toys that you can import from China are classified into the following categories:

  • Remote control toys: these include RC helicopters, cars, boats, Quadrocopter. These are mainly produced in Chenghai and Shenzhen.
  • Diecasts and toy vehicles: this category comprise cars, trucks, and car models. These are mainly produced in Chenghai.
  • Toy Figures: this category comprises lego toys and animation figures. These are mainly produced in Chenghai.
  • Doll and stuffed toys: this category comprise toy animals, puppets, and mascot costumes. These toys are mainly produced in Yangzhou and Qingdao, Yiwu, Shenzhen, among other cities in China.
  • Classic toys: this category comprises Yoyo, balloon, balls, and Kaleidoscope. These are produced mainly in Chinghai and Yiwu.
  • Learning and educational toys: this category comprises toy musical instruments and is mainly produced in Yunhe (Zheijiang province) for wood toys.
  • Outdoor and playground toys: this category comprises of kids slide and see-saw. These are produced in Yongjia, a small town in Wenzhou.
  • Models and building toys: this category comprise of building blocks. They are mainly produced in Shanghai and Yiwu.
  • Baby toys: this category comprises baby rattles and baby walkers.

Manufacturers for this category are not in specified cities, but mainly you will find them in Zhejiang and Guangdong Province.

  • Puzzles and DIY toys: this category comprises puzzles and magic cube. You will find manufacturers of high-quality puzzles in Chenghai while those for DIY crafts in Yiwu.

Which are the Toy Wholesale Markets in China?

The toys wholesale markets that you will find in china include:

  • Yiwu Toys Wholesale Market
  • Shantou China Toys Market
  • Lingyi Yongxing China Toys Market
  • Yangjiang Wutinglong international Toys & Gift City
  • Baigou Plush Toys wholesale market
  • Yunhe Wooden Toys market
  • Zhengzhou Toys wholesale market
  • Guangzhou Toys Wholesale market
  • YS win-win exhibition hall
  • Hoton Exhibition hall
  • CBH exhibition hall
  • HK exhibition hall
  • T exhibition hall
  • Union exhibition hall
  • K exhibition hall
  • W exhibition hall
  • Lingyi Yongxing Plush toy market
  • Lingyi Yongxing education toy market
  • Yangzhou stuffed toy market
  • Yangzhou toy market
  • Wanling Plaza Guangzhou
  • International Yide stationery and toys plaza Guangzhou
  • Zhonggang Boutique toys wholesale Market Guangzhou
  • Liwan Toys wholesale market
  • Liwan toy wholesale market
  • Sungang stationery toy and gift wholesale market
  • Yide International Exquisite toy and stationery square in Guangzhou
  • Sham Shui Po toy street
  • Yide road wholesale market
  • China Market
  • Yiwu electric toy market
  • R India lamps China led lari
  • Jing exhibition hall
  • Yiwu in flat toys market
  • Yiwu regular toys market
  • Chenghai toys exhibition Centre
  • Dubai business village
  • China Toys and gifts city
  • WuTingLong international toy market
  • Guangzhou Huangpu International
  • Dongguan world toys manufacture town
  • Huile toy market
  • Weili Toy market
  • Shantou Chenghai Guangyi Jinguang toys factoty
  • Shantou Chenghai Plastic toys market

Who are the Leading Toys Suppliers in China?

You will find the top toy suppliers in China, depending on the ‘factory location, manufacturing the types of toys you need.

The top toys suppliers in China will include:

I. Chenghai, Guangdong Province

It is the world’s capital of toys.

Chenghai is the choice location for business people that deal with toys.

Chenghai is known for its specialization in quality toys on a large scale.

Buying toys from manufacturers in Chenghai will help you significantly reduce the cost, save you a lot of time, and guaranteed quality.

Some of the toy categories that you will find in Chenghai include:

  • Chinese baby toys.
  • Plastic toys.
  • China’s electronic toys.
  • High-tech toys.

II. Yiwu

Yiwu is the right place if you need small and low-value toys.

The toy categories that you will find in Yiwu include:

  • Kids DIY crafts: in this category, you will find fad toys, loom bands, and magic sand.
  • In Yiwu, you can also be able to find plastic toys that are a lot cheaper as compared to other suppliers.
  • Besides DIY toys and low-value plastic toys, you will also find many pool rafts and inflatable ride-owns suppliers.

III. Yangzhou/Qingdao

Yangzhou is where you will find many suppliers of plush and stuffed toys.

The toy categories you will find in Qingdao include:

  • Kid’s slide.
  • Toy animals.

IV. Yongjia, Zhejiang Province.

Yongjia is known for outdoor toys.

Qiaoxia is the exact location in Yongjia, where you will find factories specialized in outdoor toys in China.

V. Yunhe, Lushui – Wooden Toy City

If you would like to find wooden toys suppliers, you can go to Yunhe, Zhejiang province.

Yunhe has a lot of wood, which led to the development of the wooden toy industry.

Should you Buy Toys from Online Marketplaces of Directly from the Factory?

If you are buying in bulk, it is recommendable to buy directly from the factory.

You can buy directly from the manufacturer or place your orders through China’s online buying platform Alibaba.

China has an excellent logistics infrastructure and can ship products to all corners of the world.

It is also easy to make payment for your goods and tracking your order shipment.

The toy industry in China is big and modernized, capable of meeting any MOQ from customers worldwide.

The above factors make it easy and favorable to purchase toys from the Chinese market.

Which are the Leading Toys Fair in China?

The top toys fair in China will include:

· China Toy Expo (CTE)

This event is held annually since 2020.

It is the largest B2B toy trade show in Asia that brings together:

  • China’s manufacturers.
  • Innovative new products.
  • They are leading international brands.
  • Industry development trends.
  • Informative forums and activities.
  • Business professionals of all functions throughout the toy industry attend CTE.

CTE is a significant foreign brand to tap into the Chinese market and a one-stop sourcing hub for international buyers.

If you are looking for a wide range of toys from different manufacturers, you should visit CTE.

It is one of the most recognizable trade fairs that bring all toy manufacturers under one roof.

In the China Toy Expo, you will have a chance to see exhibitors showcase their latest product portfolio.

Some of the products that you will encounter in the CTE include:

  • Non-electronic plastic toys.
  • Toy figures
  • . Educational toys.
  • Wooden toys.
  • Mechanical toys.
  • Plush toys
  • Electronic toys.
  • Outdoor toys
  • Electrical toys.

· Toy and Edu China (Shenzhen International Toy and Education Fair)

It is among the main toy events organized in South China.

Toy and Edu China is a fair where you will find global insiders demonstrating and promoting new products and innovations.

The first edition fair was launched in 1989, and it has expanded almost ten times over the past quarter-century.

And Edu China has attracted many corporations’ attention, both multinational and commercial, and the exhibit space has reached 100,000 square meters.

· Canton Fair

Canton fair started in 1957 and involved showcasing of items like:

  • Cloth toys.
  • Action toys
  • Baby toys.

How do you Find the Right Toys Suppliers in China?

Finding a supplier is the first and most important step for importing from China.

Different regions in China manufacture other toys.

Most toy suppliers do not have their personal sales team, and their English level is not right.

So, most China suppliers will send you samples to choose from.

From here, you can determine the right supplier of the toys that you need.

As a trading company, you should ensure that product’s uploads are affected on the Alibaba page.

Next, put your orders to the suppliers under an international order.

As a customer, you can visit showrooms, choose the toys you want, and then place orders.

You must note that most toy suppliers do not have good English-speaking people; thus, you should have a translator to assist.

In fact, using a sourcing agent is an effective way of finding the right toy suppliers in China.

Problems will you Encounter when Importing Toys from China?

Toys are one of China’s most important exports.

Importing from China might be a hustle because you will not know how to choose the toys.

Some of the problems that you may encounter when importing toys from China include:

  • Compliance and safety issues: different countries require different standards for imported toys.
  • Commodity inspection required by China customs: when importing from China, you will need to do commodity inspection.
  • The problem of design infringement: you may encounter design infringement where manufacturers like to print some famous animation characters on the toys.
  • Shipping: the most popular and economical way to import goods from China is through sea shipping.
  • Language barrier – so you need a translator or sourcing agent
  • Identifying the right toys’ supplier in China

How do you check the Quality of Toys from China?

You should check the toys to ascertain that they comply with the standards like ASTM F963 4.6, EN71-1998 8.2, GB6675-2003 A.5.2,16 CFR 1501, UL, RoHS and CE, just to mention a few.

Physically check on:

  • You should always check for the safety and certification marks, which will help you ascertain that the manufacturer ensured the toys met the regulatory requirements.

Products without this mark may not be safe for children to play.

Remember, the safety and certification marks will vary depending on the geographical location.

  • You should look for bad grammar or misspellings on the packaging, as this may indicate that the toy is fake.

If you doubt, you should refer to the manufacturer’s official website and compare the packaging and description with authentic toys.

  • To avoid fake toys, you should buy from suppliers who have a good reputation for reliable and safe toys.
  • Ensure the toys have been labelled properly
  • Use a third party company or your team to inspect the toys
  • For custom orders, try to be involved in the manufacturing process to follow up on various quality control measures
  • If possible, buy toys directly from the manufacturer
  • If a toy manufacturer in China offers warranty, then will be an indication of quality products.

This will imply that the manufacturer has confidence in the toys they manufacture.

How do you Ship Toys from China?

Toys that you buy from China can either be shipped through the air or as sea cargo.

Through the ocean freight, cargo is carried by huge containers of about 20 by 40 feet.

A full cargo container holds about 2400 cubic feet. A forty-foot box carries approximately 61000 lbs. which is a lot of room for toys.

If you want to save costs, it is recommendable to choose bulk shipping.

If your toy cargo is at least five pallets, it is better to transport it utilizing a full container load (FCL).

For smaller toy cargo volumes, you should choose less than container load (LCL) shipping.

This method will mean that your toy cargo will be with other kinds of shipments.

It is essential to have your cargo insurance.

Many international shipping companies have limited liability insurance for any damage that your cargo may encounter.

The insurance by the carriers will cover just a small percentage of your cargo.

For insurance assistance, you may reach out to custom brokers.

Once the toys you have imported from China reach the seaport, they might be transported to avail location near you.

The toys are then shipped through rail or road to your final location, your final destination.

Alternatively, if you want your toys from China to arrive faster, then you can choose air freight.

Although it’s faster, you will pay more for the entire shipping process.

Moreover, you can also opt for rail freight as long as there is existing infrastructure.

How do you Identify Fake Toys from China?

You can buy fake toys online or from dubious retailers.

Despite looking like genuine toys, these Chinese toys are often of low quality, have missing parts, or do not work.

These toys might even cause significant injuries and accidents.

To identify fake toys, you should use the following tips:

i. Compare prices – most fake toys are extraordinarily cheap because manufacturers use low-quality materials.

ii. Request for test and quality standard certification documents

iii. Check if quality marks exist

iv. Inspect labeling requirements – improper labeling implies the toy could be fake

v. Check if there are spelling errors in the labeling

vi. Evaluate the China toys manufacturer or supplier

vii. Check whether the manufacturer offers a warranty and has a product return policy

Why should you Work with Freight Forwarder when Importing Toys from China?

When importing from China, it is crucial to work with a freight forwarder because of the following reasons:

  • Freight forwarders will help you move the shipment from China to your location in the most effective method.
  • Freight forwarders will smoothen your toys’ passage through the series of processes and regulations required by different countries.
  • Freight forwarders are experts in the logistics process and will contract the airlines, shipping lines, or haulers on your behalf.
  • Freight forwarders will ensure that your toy shipment is insured from loss or damage as they supply insurance.
  • You must use a freight forwarder as they can leverage their buying power to reduce transport costs.
  • Freight forwarders will also provide you with confidence to import from new markets as they will help you ship your toys effectively.
  • The use of freight forwarders will also grant you the ability to focus on your business and not on the complex transport and customs procedures.
  • You can also benefit from warehousing and free shipping containers

In short, a freight forwarder will help you save time and cost when importing toys from China.

What Are The Documents do you need to Import Toys from China?

Before importing from China, some formalities are required.

As an importer, you should prepare and have the necessary documents and present them to the appropriate authorities.

The following are some of the essential documents used in importing toys from China:

1. Commercial Invoice

It is a formal note for payment and is used in customs as a declaration that the toys are exported across international borders.

The exporter prepares this invoice.

Some sellers might want to pay fewer taxes to escape some formalities.

If the commercial invoice is checked carefully, and this is established, your toys might be withheld, and you may suffer losses.

2. Bill of Lading (B/L, BOL)

The Bill of landing is a document that will give you details of a shipment of merchandise.

It states the goods’ title and requires the carrier to release the payload in a specified port.

The Bill of landing is issued to you by the shipping company, and you can use it as proof of shipment for insurance companies and customs.

You can also deliver it to the bank as proof so that the seller can execute the letter of credit.

This document mailed to you as the buyer to pay off the contract.

3. Packing List

A packing list is issued by the cargo company that will show you all toys shipped and the packing information.

It informs all the parties involved in the importation process about the contents of the baggage.

4. Pro Forma Invoice

Proforma invoice gives you all the critical information about the shipment: how many toys are shipped, the features and dimensions of the toys.

This invoice also contains the final pricing of the toys’, which helps you make the final purchasing decision.

A Proforma invoice is not a valid invoice but is viewed as a legally binding agreement. The exporter of the toys prepares it.

5. Certificate of Origin

It is a document that will help you prove that the products on transit or waiting to be transported.

A certificate of origin indicates that the cargo is wholly obtained, produced, manufactured, or processed in the place of birth.

The exporter has the prerogative to provide this document to you.

Certificates of origin have two components, namely:

  • A non-preferential certificate of origin specifies where the toys were produced, but the toys do not qualify for exceptional treatment.
  • Preferential certificate of origin: this will state that the goods were manufactured in the country with some trade agreement with your government.

For example, when you are trading within the Commonwealth of Nations.

6. Import/Export Declaration

Import/ Export declaration is a document prepared by either you or the exporter, and you will be required to submit it to the customs office.

The form of this declaration will be different depending on the requirements of a particular customs office.

You may find the samples online for your perusal.

7. Quality Inspection Certificate

It will ensure that all toys from China conform to all safety requirements and standards.

These include conforming with the CE, RoHS, ASTM, and UL quality requirements.

Remember, there are countries that insist toys from China must have quality inspection certificates.

Why should you Import Toys from China?

China’s toy industry has risen over the past years, making it among the top manufacturers in the market worldwide.

The industry has significantly invested in manufacturing technology and pieces of training.

The workforce has perfected skills in the production of durable and high-quality toys.

Some of the reasons why you should import toys from China are:

a. Uniqueness: Manufacturers in China produce toys that are of their kind and, in most cases, not like any other toy in the world.

b. Price: most toys manufactured in China are relatively affordable.

c. Quality: manufacturers in China have highly skilled personnel and make high-quality toys that last for long periods.

d. Quantity: most of the manufacturers in China sell in bulk. That is, you can purchase as many toys as.

The toy manufacturers industry in China is massive and modernized, capable of meeting any MOQ from customers worldwide.

e. Variety to choose from: they provide an extensive range of toys where one can choose from and select that design that suits their preferences.

f. Infrastructure: China manufacturers have excellent logistics infrastructure and can ship products to all corners of the world.

g. Payment: It is easy to pay for your goods using online banking systems established, and you are also able to track your order shipment.

What are the Requirements for Toys Imports from China?

When importing from China, you should make sure all the toys comply with the federal requirements.

Some of the requirements for toy imports from China that you should include:

  • You should ensure that all the toys you import from China are compliant with all the safety regulations.
  • You should also ascertain that all the toys are tested at a CPSC-approved laboratory.
  • It is vital to ensure that a tracking label is attached to all the toys to facilitate easier tracking of the shipment.
  • Information from CPSC highlights that some materials such as phthalates are harmful to toys and can harm when large amounts are ingested.

Therefore, when importing from China, you should avoid toys that contain such materials.

  • Lead is also limited for use in toys as it is carcinogenic material; thus, you should avoid toys containing it when importing from China.
  • You should also be keen on the mechanical regulations when importing from China to ensure the toys are safe for children.

Should you Label Toys from China?`

Yes, all toys from China have a certified tracking label on the toy or the toy’s packaging.

The labels provide essential information about toys such as:

  • The manufacturer’s name.
  • The location and date of manufacture of the toy.
  • The specific information on the manufacturing process of the toy.
  • Any other additional information about the toy that may be of importance.

How do you Pay Toy Manufacturers and Suppliers in China?

There are many ways you can pay toy manufacturers and suppliers in China.

Chinese manufacturers accept a wide range of payment methods.

Also, note that many manufacturers demand you to pay a deposit before they commence production.

Then, you pay the rest after they complete output.

So, you need to be prepared to make two transactions to the manufacturers.

Some of the payment methods include:

i. Wiring money straight to the manufacturer through an international transfer.

ii. You can open an account in China and make a local transaction.

iii. There is also ALIPAY or Alibaba Trade Assurance.

iv. You can use a broker.

v. Transfer funds via western union.

vi. You can also use PayPal.

Are there Special Requirements for Importing Wooden Toys from China?

Yes, wooden toys like the wooden playground and building blocks are controlled by the same regulatory standards for importing woods.

When importing wooden toys from China, you have to follow the laid down rules and regulations to prevent illegal logging and pests.

The requirements to be observed when importing wooden toys from China include:

  • Imported wooden toys must always undergo sanitization procedures to eliminate pests.
  • You should ensure sanitization is done by either heat or electrical treatment.
  • You must note that heat treatment will entail treating the wooden toys in a unique microwave energy dryer.
  • Chemical treatment of the wooden toys will involve fumigation of the wooden toys on the surface with a pesticide.
  • Ensure that you get the necessary permits required for importation of timber products,

PPQ Form 585 is available to apply the various permits required for the importation of timber products.

You should be aware the form takes about a month to be ready; therefore, file in advance to avoid delays in your toys’ shipment.

  • Another essential document that you will need to import wooden toys from China is the phytosanitary permit.

Why is Market Research Important Before you Import Toys from China?

When you use market research correctly, it will minimize the risks involved in making critical business decisions.

Importance of market research before you import toys from China include:

  • Market research will significantly help your marketing strategy of the toys, as it will provide you with crucial insights and information about the business.
  • Market research will provide you with a deeper understanding of your customers and competitors.
  • Market research will also help you understand who will buy your toys, who will not accept them, what motivates them, and their loyalty to your brand.
  • Market research will, over time, provide you with increased sales over time.

How do you Import Toys from China Online?

To import toys from China online, you may use online trading companies like Alibaba.com to purchase the toys wholesale.

Alibaba will ensure that you can access the millions of products available directly from the manufacturer or the source.

Online global trade is a current trend that you should adopt as an importer and work with onl

What is Consignee: A Definitive Guide

There are numerous parties often involved in the entire freight process with varied responsibilities.

It doesn’t matter whether you are moving overseas or shipping your merchandise with FCL or LCL shipping.

To guarantee that nothing goes wrong along the way, it is vital to understand the process and roles of each party.

In this guide, we will discuss several aspects revolving around a consignee in the shipping world.

Ultimately, you’ll know what it takes to be a consignee as well as the roles and responsibilities of this party in the freight process.

Meaning of Consignee in Shipping Terms

Consignee refers to the entity or party to whom ownership of goods transfers to when the cargo is released at the destination.

You can also describe a consignee as the importer of record for your consignment.

In simple terms, a consignee is a party financially responsible for the receipt of the shipment.

In most cases, but not always, the consignee is the same as the receiver.

A consignee may be an individual or a company.

You, as the buyer of the commodities from overseas or the person who placed the order, can also be the consignee.

You may also have a representative to receive the goods once they arrive at the final destination.

In many instances, it is always a requirement that the consignee is listed on the Bill of Lading.

Quite often, the carrier will always find it difficult to complete the delivery without the consignee’s or authorized representative’s approval.

Thus, the party listed as the consignee on this document must always be physically present to collect the goods.

The only exception, in this case, is when it is clearly outlined as otherwise in the bill of lading.

Role of Consignee in Bill of Lading

A consignee plays several critical roles in the bill of lading and the entire shipping process of goods.

Once the goods are imported and get to the final destination, they are cleared through customs.

At this point, the consignee assumes ownership of the landed shipment.

Technically, a consignee is responsible for paying import duties and taxes in a simple import-export transaction.

The other role of a consignee is to pay any additional freight charges.

Often, the seller may choose to pay part of the freight charges or not pay, depending on the agreement the two parties had.

In such instances, it becomes the responsibility of the consignee to pay for any additional freight charges.

The other role of a consignee is making sure the items received are in mint condition as outlined in the bill of lading.

In essence, the consignee inspects the shipment to determine if there are any missing or broken items when the cargo arrives.

In case the consignee finds a short-landing, over-landing, or damaged item, he will file a claim immediately with the carrier.

The carrier will then be responsible for carrying the request for reimbursement or removal of the incorrect consignment.

Importantly, the consignee is responsible for signing all the necessary receiving documents.

And once this happens, they earn the full responsibility and ownership of goods.

At this point, any obligation of the carrier ends, excluding the responsibility related to transmitting paperwork.

The other exception would be the obligation of returning the items to the seller.

Who does a Consignee Interact with?

A consignee is a critical party in the shipping process.

However, this party is only part of the broader team of officials that must work together to complete the shipment process.

Some other parties the consignee will always interact with when facilitating the shipment process include the following;

1. Consignor

This refers to the sender responsible for dispatching the goods from a warehouse to their respective destination.

Consignor is the party that compiles the bill of lading together and issues it to the carrier.

This party is also responsible for ensuring the goods are in proper condition before they are dispatched to their final destination.

2. Carrier

This refers to the party responsible for delivering goods to their respective destination.

In most cases, a carrier can either be an independent provider or a company with a large fleet.

The other responsibility of a carrier in the shipping process is to receive the bill of lading.

They are also under the obligation of making sure the consignment are safely delivered in good condition to the consignee.

3. Notify Party

This refers to the entity responsible for receiving notification the moment the cargo arrives at its destination.

In some instances, such as in a busy warehouse shipment, a consignee will hardly receive and inspect the cargo physically.

Now, this is the instance the notify party comes into play.

This party is also responsible for arranging customs clearance for all international shipments.

4. OS & D Official

This refers to an individual whose role is to receive, inspect, and manage all claims.

Most relatively large shipping companies employ an OS & D official to focus on Over, Short, and Damaged (OS & D) item claims.

Typically, the OS & D official always works out of the consignor’s warehouse or premises together with other staff of the shipping department.

Difference Between a Consignee and Notify Party on Bill of Lading

In some incidences, it can be easy to confuse a consignee with a notify party.

In simplest terms, a consignee is a person or entity entitled to deliver goods according to the carriage contract outlined on the Bill of Lading.

On the other hand, the notifying party is an individual that should be notified by the carrier and consignee once the shipment gets to the port of discharge.

The two parties play different roles in the overall shipping process on the following grounds;

· Goods Delivery

Carriers deliver goods to the stated entity or individual on the bill of lading.

However, the notified party can hardly claim items from the carrier, particular under ocean shipments

· Title of Goods

The consignee field determines the delivery method for the title of goods from the shipper to the respective consignee.

By contrast, the notifying party does not have any connection with the title of goods.

· Optional versus Mandatory Fields

The consignee field on Bill of Lading is usually mandatory and must be completed on all occasions.

On the other hand, you can use notify party as an optional field; hence need not to be completed on all occasions.

· Single Versus Multiple Entries

You can only enter a single entity on the consignee field on the bill of lading.

However, under the notify party field, it is possible to enter multiple company names.

Is the Consignee and Shipper the Same Party?

It depends on several underlying factors.

On a bill of lading, the consignee and the shipper can be the same party.

There are two instances where such sort of things tend to happen frequently;

In one instance, it involves a company with two entities in different countries.

Therefore, in this case, the shipper and the consignee can be the same party.

The other instance in which these two parties can be the same is when the customer buys the merchandise in the country of origin.

In this case, you have to be based in the country of origin and ship the product to yourself in the country of destination.

This way, you become the shipper and the consignee at the same time.

In strict terms, the shipper is the contracting party in the bill of lading.

The consignee, on the other hand, is the recipient of the merchandise.

In these two outlined circumstances, both the shipper and the consignee are the same party.

Can a Freight Forwarder be a Consignee?

Not really!

Freight forwarder refers to an individual or corporation in charge of organizing goods on behalf of seller or buyer.

The consignee is the party that is supposed to receive the shipment once it is delivered at its respective destination.

Therefore, it can be difficult for a freight forwarder to facilitate transportation of the shipment and double up as the consignee.

What happens is that the freight forwarder can take up all the legal liabilities of acting like a carrier but not necessarily a consignee.

Basic Principles Governing Consignee in Shipping Business

This is a subject, which lies in the specific person you booked the cargo through.

Booking your consignment through a specific agent or company without involving a third party becomes easier to pursue the entity directly.

A forwarder can issue their in-house Bill of Lading, which constitutes a legal document.

Often, the freight forwarder is usually responsible for contracting the carrier to ship your consignment.

They will then issue the house Bill of Lading indicating the details you provided to them.

The freight forwarder also has the power to instruct the shipper not to release the consignment.

The company shipping your container should also prepare your export documents.

This is an addition to arranging any necessary inspections and obtaining any special documentation.

Moreover, the company should provide marine insurance and payor prepay origin or destination CSC.

Import Documents for a Consignee in Customs Clearance Process

As a consignee, you need to have a wide range of documents to facilitate the customs clearance process.

In many instances, the shipper will always send the documents to the consignee in advance, awaiting the shipment’s arrival.

This is essential since it helps in faster facilitation of the customs clearance process.

However, some of these documents often arrive with the consignment.

Some of the documents the consignee will need include the following;

  • Bill of entry
  • Commercial invoice
  • Bill of Lading
  • Import license
  • Insurance certificate
  • Technical write up where applicable
  • Test report where applicable
  • Inspection certificates where applicable
  • Packing list
  • Certificate of origin

What makes the Consignee an Important Party in Shipping

Ostensibly, the consignee is the ultimate important party in a shipping transaction.

If anything, the consignee is regarded as the customer or party the shipper needs to please to receive compensation.

In the recent past, customer experience is regarded as a vital business metric.

The moment the consignee is unhappy with the services they are receiving, they can easily switch to other providers.

And since competition is stiff in this industry, it becomes easy to lose a client, in this case, the consignee.

Therefore, there is a need for businesses to go above and beyond in serving and making the consignees happy in all transactions.

Ideally, fleet managers should endeavor to be in direct contact with the consignee or representatives during the process.

Moreover, businesses should also provide shipping updates and general customer service to guarantee strong experiences.

How to Improve Consignee Efficiency and Experience

Ideally, the consignee is an important party; you always need to keep happy.

And an ideal way of keeping the customer happy is to ensure you provide accurate and speedy services.

In other words, this can be tricky to attain, especially if you’re using paper-based systems.

At times a consignee may reject a shipment due to incorrect order.

However, you should never let the consignee wait several days or weeks later to get an update of the request’s status.

Instead, the consignee ought to get immediate notification about a review that is underway along with other important frequent updates.

An ideal start to attain this kind of service is by digitizing the paperwork workflows.

Working with a reputable freight forwarder is also an essential aspect of attaining improved consignee efficiency and experience.

You can choose to work with a freight forwarder offering mobile applications for documents sharing and processing paperwork with involved parties.

In essence, this helps in keeping every party in the loop regarding the progress of the process.

As you can see from this guide, a consignee is an equally important party in the entire shipping process.

Without a consignee, the shipping process cannot be complete.

Moreover, it makes you understand and appreciate the need for having a consignee and how to incorporate the party in the process.

Therefore, if you are in business, it is always vital to understand the essence and specific roles of this party in shipping.

How to Import Clothes from China: The Ultimate FAQ Guide

I know you’re looking for the best Clothes supplier in China.

Or, you want to learn more about China clothes market.

That’s why in today’s guide, I will explore everything about how to import clothes from China.

Whether you want to know China wholesale clothes market, clothes manufacturers in China or how to get the best prices – all information you’re looking for is right here.

Keep reading to learn more.

Which are the Main China Wholesale Clothes Market?

China wholesale markets include:

  • Yaosheng Clothing Wholesale Market
  • Shahe Clothing Wholesale Market in The Third Breakthrough
  • Shanghai Kaixuancheng Clothing and Accessories Wholesale Market
  • Xindadi Fashion Plaza
  • Yuehe Shoes Wholesale Market
  • Guangzhou Baima Costume Market
  • Shenzhen Buji Textile Wholesale Market
  • Jihong Zhanxi Wholesale Clothing Market
  • Wanjia Costume Wholesale Square
  • Shisanhang Wholesale City
  • Dongding Clothing Wholesale Market
  • Guangzhou Kyushu Fabric Market
  • Jiahua Foreign Trade Clothing Market
  • Liuhua Fur and Fashion Market
  • Fabric Market
  • Guangzhou World Trade Clothing City
  • Fair Price Leather Wholesale Market
  • Wufenpu Shopping District
  • Hong Kong Market
  • Shisanhang International Fashion City
  • Hongbiantian Costume Exchange Centre
  • Shoe And Bag Centre
  • Seg Electronics Market
  • Yulong Market
  • Jardine’s Crescent Market
  • Qinping Chinese Clothes Market
  • Jinxiang Underwear Market
  • Guangzhou Tianna International Fashion
  • Zhonggang Xiangtian Leather City Two
  • Baiyun World Elaborate Leather Trading and Exhibition Centre
  • China Town Shopping Centre
  • Guangzhou Shahe clothing market
  • Hangzhou evergreen clothing wholesale market
  • Hangpai Boutique Costume market
  • Xinhangpai Leisure Fushicheng

Some of the leading clothes manufacturers include:

  • Shandong Jining Ruyi woollen textile co. ltd
  • Shandong Demian Incorporated company
  • Huafang Textile Co ltd
  • Jiangsu Sunshine Co Ltd
  • Shijiazhuang Changshan Textile co ltd
  • Weiqiao Textile Co ltd

What Are the Top Websites for Wholesale Clothes from China?

Some of the top websites where you can shop for clothes from China include:

  • AliExpress
  • Alibaba
  • China brands
  • DHgate
  • Lighting TheBox/ DropIn TheBox
  • Banggood
  • com
  • Tom Top
  • Global Sources
  • Made in China
  • Zaful
  • LovelyWholesale
  • Wholesale 7
  • Tasha Apparel
  • Maxuce
  • Yaaku Wholesale

How can you Find China Wholesale Clothing Suppliers and Manufacturers?

There are numerous clothing suppliers and manufacturers in China.

As a buyer, you have a wide selection to choose from the suppliers.

Some of the ways you can go about finding clothing supplier and manufacturers include:

  • Trade fairs of the clothing manufacturers and suppliers have done various times of the year.
  • Online B2B marketplace such as AliExpress, Tom Top, China Brands, among others.
  • Sourcing companies, agents or buying brokers in China.
  • You can also find suppliers and manufacturers on social media platforms such as Facebook, Twitter and linked, among others.
  • You can also utilize Google search, especially google maps, to locate clothing manufacturers and suppliers in China.
  • Fashion exhibitions are done throughout the year. Some of the famous fashion exhibitions include;
  • Intertextile Shanghai home textiles
  • ACLE
  • Centerstage
  • Global Sources fashion
  • Referrals by related business partners.
  • Using catalogues and coupons

How do you Verify Clothes, Manufacturers and Suppliers in China?

Some of the ways you can go about verifying clothes, manufacturers and suppliers from China Include:

  • Use search engines and Chinese suppliers’ directories. Some of the things you can check include:
  • Returns policies
  • Damages
  • Backorders
  • Suppliers’ or manufacturers’ contact information
  • Suppliers’ or manufacturer’s physical address
  • Check B2B directories such as Alibaba, Global Sources etc. for the suppliers’ or manufacturers’ profiles.
  • Use the various verification services offered by B2B platforms such as Alibaba to verify the supplier or manufacturer.
  • Check suppliers’ or manufacturers’ recent activities, such as attendance of trade shows.
  • Make a phone call to ensure the contacts provided by the manufacturer are genuine. Once connected to the supplier or manufacturer, ask for:
  • Company registration number
  • Business license number
  • Ensure supplier has a landline number
  • Check business licenses; lack of a business number means the supplier or manufacturer is non-existent.
  • Ask for references. Some of the connections you can ask for include;
  • Bank reference letters.
  • Previous customers
  • Other brands reference.
  • Get a sample
  • Check the payment method; the best way is to use your agent to link with the manufacturer or supplier. Pay cash on delivery through the agent.
  • Conduct factory audits.
  • Make fair use of databases such as the database of the Chinese Supreme Court. It is to ensure that the supplier or manufacturer has no pending cases with previous clients.
  • Do background checks using authentication services such as GloBis or China Checkup.
  • Visit the factory or company in person if you can.

How much do Clothes from China Cost?

Clothes from China range in prices depending on the quality, quantity and sizes of the clothes.

Customization and branding also affect the overall cost of the clothes.

Your MOQ, FOB Port and lead time will also determine the prices of the clothes you buy from China.

Depending on the above factors, prices may range from US$ 0.8 TO US$ 8.25/ Piece.

Is Importing Clothes from China Profitable?

Yes, importing clothes from China is profitable.

It is because of:

  • Cheap labour is used in the production of clothes bringing the prices of clothes down.
  • There is available skilled labour for the production of clothes.
  • The Chines government supports the clothing industry in a big way.
  • There is a readily capital base for production that ensures clothing prices remain low.
  • There is the availability of cheap raw material for making the clothes, ensuring prices remain low.
  • The supply chain ecosystem is well established, making logistics cheap and affordable.
  • There is healthy competition between suppliers and manufacturers.

How does Buying Clothes from China Online compare to Visiting China Clothes Wholesale Market?

Buying clothes from China online is different from visiting China in that;

  • Buying online is cheaper because you save money for air tickets and other transportation costs in China plus accommodation costs.
  • Visiting China is advantageous because you get to choose from a wide range of brands and different manufactures.
  • If you are buying in bulk, it is recommendable to buy directly from the factory.
  • You can buy directly from the manufacturer or place your orders through China’s online buying platform Alibaba.
  • China has an excellent logistics infrastructure and can ship products to all corners of the world.
  • It is also easy to make payment for your goods and tracking your order shipment online.
  • The clothes industry in China is big and modernized, capable of meeting any MOQ from customers worldwide.
  • You can visit the manufacturer and deal with them one on one, unlike online shopping.
  • Online shopping is susceptible to scam, unlike going to China.
  • Visiting China is advantageous because the buyer can get other items from what he needs, unlike online shopping.

How do you find the Best Prices when Importing Clothes from China?

To get the best China prices when importing clothes from China, you can use the following tactics:

  • Bulk buying
  • Buying directly from the manufacturer
  • Market research
  • Familiarize yourself with the import rules of your country to avoid incurring unnecessary costs.
  • Be aware of the taxes you need to pay in China.
  • Get the necessary licenses to import clothes to avoid costs as a result of fines.
  • Look out for the right supplier and manufacture to save on switching costs or breach of the Contract.
  • Check the minimum order quantity (MOQ) required.
  • Check the shipping charges and if drop shipping is available.
  • Always ask for sample pieces to avoid buying items that you cannot sell and recoup your money
  • opt for an agent to guide you on the best prices around.
  • Buy insurance for safety, especially in importing from China.

What are the Quality and Certification Marks on Clothes from China?

Some of the quality and certification marks on clothes from China include:

  • CCC (China Compulsory Certificate)
  • CE (Conformité Européenne) mostly for protective clothing
  • Kite Mark
  • Ral-GZ 992 certification
  • China Quality Certification (CQC)
  • GB 18401-2010: China’s National General Safety Technical Code for Textile Products
  • GB 20400-2006: Leather and Fur – Limit of Harmful Matter
  • GB 21550-2008: Restriction of Hazardous Materials in Polyvinyl Chloride Artificial Leather
  • GB 28480-2012: Adornment – Provision for Limit of Baneful Elements
  • GB 5296.4-2012: Instruction for the use of Products of Consumer Interest – Part 4: Textiles and Apparel

How do you check the Quality of Clothes from China?

Clothes from China come in different designs, quality, shapes and sizes.

The rate also depends on the material used in making clothes.

Some of the ways you can check the quality of clothes from China include:

a) First, you should touch and feel the quality of the material used. Make sure the material is soft to the touch and that it settles comfortably.

b) Check the colour of the clothing; it should be sharp and uniform. Check for smears.

c) If your clothing is printed or has images, the images and the prints should be of the highest resolution and sharp.

d) Check the edges, seams, buttons and sleeves for any handing or lose threads. The finishing should be of the highest standards.

e) Check that the material used is absorbent and comfortable for all weather. The clothing should allow air circulation.

f) Check for the quality marks and certifications. It should guide you in ensuring you are buying a genuine product.

Which Types of Clothes can you Import from China?

You can import any clothing you might think of from China.

Some of the clothes you can import from China including but not limited to;

  • Men pants
  • Ladies pants
  • Underwear
  • Men shorts
  • Ladies short.
  • Any type of sportswear,
  • Coats
  • Kid’s clothes
  • Fur coats
  • Jackets
  • Suits
  • Jumpsuits
  • Rompers
  • Blouses

How Big is China Clothes Wholesale Market?

China’s clothes wholesale market is so big that the factories for clothes are located in different geographical areas according to the different types of clothes they produce.

You must research and have a list of the clothes manufacturers and the appropriate market before purchasing the clothes.

China wholesale markets are the biggest in the world, both in physical locations and online.

China’s textiles and clothing exports account for more than the world’s 55% total production.

It shows the size and impacts of China’s strength in clothing trade.

The Chines can be found in every sector of the clothing industry.

China deals with every process of clothe production from acquisition of raw materials to the shipment of the final product to the market.

How do you Find Genuine Clothes Suppliers in China?

Finding a supplier is the first and most important step for importing from China.

Different regions in China manufacture different clothes.

Most clothes suppliers do not have their personal sales team, and their English level is not right.

So, most Chinese suppliers will send you samples to choose from and determine the right supplier of the clothes you need.

As a trading company, you should ensure that product’s uploads are affected on the Alibaba page.

Next, put your orders to the suppliers under an international order.

As a customer, you can visit showrooms, choose the clothes you want, and then place orders.

You must note that most toy suppliers do not have good English-speaking skills; thus, you should have a translator to assist.

What Problems will you Encounter when Importing Clothes from China?

Clothes are one of China’s most important exports and imports.

Importing from China might be a hustle because you will not know how to choose clothes.

Some of the problems that you may encounter when importing clothes from China include:

  • Compliance and safety issues: different countries require different standards for imported clothes.
  • Commodity inspection required by China customs: when importing from China, you will need to do commodity inspection.
  • The problem of design infringement: you may encounter design infringement where manufacturers use brand names and logos without the required authorization.
  • Shipping: the most popular and economical way to import goods from China is through sea shipping.

How do you Ship Clothes from China?

Clothes that you buy from China can either be shipped through the air or as sea cargo.

Through the sea, cargo is carried by huge containers of about 20 by 40 feet.

A full cargo container holds about 2400 cubic feet.

A forty-foot box carries approximately 61000 lbs.

which is a lot of room for clothes belonging to different owners.

If you want to save costs, it is recommendable to choose bulk shipping.

If your clothes cargo is at least five pallets, it is better to transport it utilizing a full container load (FCL).

For smaller clothes cargo volumes, you should choose less than container load (L.C. L) shipping.

This method will mean that your clothes cargo will be with other kinds of shipments.

It is essential to have your cargo insurance.

This is because many international shipping companies have limited liability insurance for any damage that your cargo may encounter.

The insurance by the carriers will cover just a small percentage of your cargo.

For insurance assistance, you may reach out to custom brokers.

Once the clothes you have imported from China reach the seaport, they might be transported to avail location near you.

The clothes are then shipped through rail or road to your final location, your final destination.

How many Duties/Taxes will you Pay to Import Clothes from China?

The taxes and import duties in China are manageable, thus encouraging people to import more from China.

VAT on imported goods in China varies from 9% to 13%.

Which Incoterms should you use when Importing Clothes from China?

Incoterms will help you get business clarity as they define who is responsible for shipping and or insurance of goods at varying times during transit.

As a buyer, you must have information on the individuals preparing:

  • Internal delivery.
  • Shipment documents.
  • customs, etc.

Some of the incoterms that you should use when importing clothes from China include:

· EXW

The incoterm in this category is EXW (Ex Works plus a named place).

In this term, the seller is not responsible for the costs, risks and obligations.

The seller’s job is all done when the goods are ready at their factory.

The seller will not be even responsible for loading the clothes into the truck you sent to pick up the goods.

Some buyers choose this incoterm to enjoy maximum control.

However, it is not advisable to use EXW due to the risks involved.

· Free on Board (FOB)

FOB will allow you and the seller to do what each of you knows best.

The seller should frequently secure more competitive pricing at origin as they know their country’s requirements and processes.

As the buyer, you have access to an extensive network of vendors as you know what is required in your country.

I highly recommend using FOB as it will result in a few chances of obtaining errors.

· Cost Insurance and Freight (CIF)

In CIF, the seller assumes the risk and is the one who is responsible for purchasing insurance for the importation of your products.

CIF can only be used for sea transport.

· Free Carrier (FCA)

FCA is a very flexible term as it allows your goods to be delivered at your seller’s premises and various points located in the seller’s country.

· Cost and Freight (CFR)

In CFR, the seller will not pay for the insurance of your products. You can only use this incoterm for only shipping by sea.

· Carried Paid To (CPT)

CPT is an incoterm that you can use for all modes of transport.

· Delivered at Terminal (DAT)

DAT suggests besides a transport terminal in your country, the place where your goods are delivered maybe your premises or a location nearby.

· Delivered Duty Paid (DDP)

In DDP, the seller assumes all of the following duties:

  • The costs and risks of an operation.
  • All the import procedures
  • Delivery of the goods at the agreed place in your country.

· Delivered at Place (DAP)

DAP is similar to DDP only that as the buyer, you will pay for all the above responsibilities.

How will Freight Forwarder help you Import Clothes from China?

When importing from China, it is crucial to work with a freight forwarder because of the following reasons:

  • Freight forwarders will help you move the shipment from China to your location in the most effective method.
  • Freight forwarders will smoothen your clothes’ passage through the series of processes and regulations required by different countries.
  • Freight forwarders are experts in the logistics process and will contract the airlines, shipping lines, or haulers on your behalf such as customs clearance
  • Freight forwarders will ensure that your clothes shipment is insured from loss or damage as they supply insurance.
  • You must use a freight forwarder as they can leverage their buying power to reduce transport costs.
  • Freight forwarders will also provide you with confidence to import from new markets as they will help you ship your toys effectively.
  • The use of freight forwarders will also grant you the ability to focus on your business and not on the complex transport and customs procedures.
  • Depending on the freight forwarder you will be using, they can provide free warehousing and shipping container

Which Documents do you need to Import Clothes from China?

Before importing from China, there are requirements that you should follow.

Be ready with all the necessary documentation required to import clothes from China.

The documents are to be presented to the appropriate authorities when and as required.

The following are some of the essential documents used in importing clothes from China:

· Commercial Invoice

This is a note to show that the exporter has paid for the goods in transit.

It is usually required at border checks to stop flow of illegal goods.

The exporter prepares this invoice.

The commercial invoice also assists the boarder patrol in establishing the amount of tax to charge.

· Bill of Lading (B/L, BOL)

The bill of landing is used in detailing the type and particulars of the cargo in transit.

It states the goods’ title and requires the shipment company to take a payload to a particular location or destination.

The Bill of landing is given to you by the cargo company, and you can use it as proof of shipment for insurance companies and customs.

This document mailed to you as the buyer to pay off the Contract.

· Packing List

A packing list is issued by the cargo company that will show you all clothes shipped and the packing information.

It informs all the parties involved in the importation process about the contents of the baggage.

· Pro Forma Invoice

The Proforma invoice gives you critical information about the shipment: the number of clothes shipped, the clothes’ features, and designs.

This invoice also contains the clothes’ final pricing, which helps you make the final purchasing decision.

A Proforma invoice is not a valid invoice but is viewed as an agreement between the exporter and importer.

The exporter of the clothes prepares it.

· Certificate of Origin

It is a document that will help you prove that the products on transit or waiting to be transported.

A certificate of origin indicates that the cargo is wholly obtained, produced, manufactured, or processed in the place of birth.

The exporter has the prerogative to provide this document to you.

Certificates of origin have two components, namely:

  • A non-preferential certificate of origin specifies where clothes were produced.
  • Preferential certificate of origin: this will state that the goods were manufactured in a country that trades with your country of origin.

For example, when you are trading within the Commonwealth of Nations.

· Import/Export Declaration

Import/ Export declaration is a document prepared by either you or the exporter, and you will be required to submit it to the customs office.

The form of this declaration will be different depending on the requirements that should be met by the importer.

You may find the samples online for your perusal.

How do you Pay Clothes Suppliers in China?

There are many ways you can pay for clothes suppliers in China.

Chinese suppliers accept a wide range of payment methods.

Also, note that many manufacturers or suppliers demand you to pay a deposit before they commence production.

Then you pay the rest after they complete output.

So, you need to be prepared to make two transactions to the manufacturers or suppliers.

Some of the payment methods include:

I. Wiring money straight to the manufacturer through an international transfer.

II. You can open an account in China and make a local transaction.

III. There is also ALIPAY or Alibaba Trade Assurance.

IV. You can use a broker.

V. Transfer funds via western union.

VI. You can also use PayPal.

Why do you need a Sourcing Agent to Import Clothes from China?

The importance of sourcing agents when importing clothes from China include:

  • Sourcing agents come in handy when the buyer needs a go-between and has no time to visit China to meet with the clothes’ suppliers.
  • Sourcing agents will assist you if you encounter communication issues or inconsistent quality.
  • Sourcing agents who are well specialized in your trading area may help you plan to expand or launch new products.
  • Sourcing agents will reach various manufacturers and suppliers on your behalf and find the clothes you need.
  • In China, a sourcing agent is a legal entity, and this is assurance enough that it is legally valid to incorporate them into your importation process.
  • After finding the clothes you need, the sourcing agent will make a commission on the sale.

Is Importing Clothes from China Good for Small Businesses?

Yes, importing clothes from China for small businesses is good due to the following reasons:

  • The wages in China are relatively cheaper, which means you will get the final products reasonably.
  • In China, materials for making clothes are more accessible.
  • You will get perfect clothes as the Chines are experts at designing their products.
  • You can get a consistent supply of clothes for sale as the Chinese are excellent, refined, and organized at producing a large scale.

Do Clothes Manufacturers have Product Return Policy?

Most of the clothes manufacturers in China do not have product return policies.

It is prudent that you check your clothes before shipment and ask for samples before production.

You can also offer to pay for a product guarantee or additional packages that allow for return policies.

All in all, your type of financial arrangement will influence if you have a return policy.

Can you Import Designer Clothes from China?

Yes, you can import designer clothes from China.

Some of the suppliers of designer clothes that you may find in China include:

  • Yiwu Gangchen Import and Export company.
  • Ningbo Langke Import and Export company.
  • Yiwu Sanzhi Import and Export company.
  • Guangzhou Luqingyi Import and Export company.
  • Quannzohou Aipusheng Import and Export company.
  • Zhuji Hanjie Import and Export company.
  • Monsoon Import and Export company.
  • Yiwu Saichen Import and Export company.
  • Yiwu G.S. Import and Export company.
  • Xiamen Fancy textiles company limited.
  • Yiwu Kai Te Import and Export company.
  • Fujian Gentle Import and Export company.
  • Yiwu Wingtu Import and Export company.
  • Jinjiang Supastarer Import and Export company.
  • Foshan Mia Import and Export company.
  • Guangdong Wanglusha Import and Export company.

How do you Import Clothes on Alibaba?

When you want to import clothes from China using Alibaba, you will have to know how to use it well to avoid getting ripped off.

Before you begin searching for Chinese suppliers using Alibaba, you should first:

  • Identify the exact clothes that you would like to import from China because Alibaba is not the right place to brainstorm for potential niches.
  • Always understand what exact clothes you are expecting when sourcing from China.

You should understand that Alibaba is among the largest and frequently used database by Chinese vendors online.

However, due to being so large, Alibaba is filled with many ungenuine suppliers; that is why you should be aware of the right way to use this site.

The process of importing clothes from Alibaba entails:

a) Once you know which clothes you would like to import from China, you should start by carrying out a search using the search bar on Alibaba.

b) Alibaba will then, by default, display every single supplier available in its database for the clothes you need.

c) You should then filter out only verified suppliers (Gold suppliers) to avoid intermediaries or individuals trying to achieve a quick sell.

d) You should also filter out vendors that support trade assurance to ensure that you only have access to the real companies.

e) Once you have filtered the suppliers, you should pay a keen interest in the price of the clothes you want and the minimum order quantities.

However, the numbers can be adjusted after negotiations with the supplier for more favourable terms.

f)

VAT Number: The Ultimate Guide

In the business world, VAT is usually a sensitive issue that must always be handled with appropriate knowledge and understanding.

It plays a fundamental role in the overall efficiency of carrying out business, both domestic and international.

In this guide, we will discuss several aspects of regarding VAT number.

You will thus find everything you need to know about VAT, structure, significance, and other related elements.

Meaning of VAT Number

This refers to a unique number used for identifying a taxable person, business, or non-taxable entity registered for VAT.

You can also describe it as a registered tax identification number in tax systems, which uses Value Added Tax (VAT).

Ideally, when you obtain VAT registration in a particular country, you receive a VAT number for their respective tax system.

However, it is essential to understand that VAT number is much different from local tax number or tax ID.

VAT number is used exclusively for the Value Added Tax scheme.

The VAT numbers often vary from one country to another.

Of course, this is occasioned by the different tax systems used in various countries.

The application for VAT number or registration is also different in various countries.

In many instances, you need to inquire from the relevant bodies in charge of issuing VAT numbers in a particular country.

This makes it easy for you to facilitate the process since it enables you to know the specific requirements for every country.

Is VAT Number Mandatory?

Yes.

In many countries, VAT registration is mandatory.

And this is specifically if your business turnover exceeds or is likely to exceed the government threshold in a financial year.

Many governments require that you obtain a VAT number voluntarily at any point until your business turnover exceeds the threshold.

VATable turnover includes goods and services your business has transacted and is liable to VAT.

This can be a standard, reduced, and zero rates.

However, this hardly includes anything exempted or is outside the general scope of VAT.

In a nutshell, VAT number is a mandatory requirement in any country for businesses that meet stipulated VATable threshold.

Structure of VAT Number

The structure of VAT number varies from one country to another.

Every county has different VAT systems, which are integral in determining the structure of VAT numbers in general.

Nevertheless, irrespective of the country, the VAT number must consist of a prefix and a suffix.

In many cases, the prefix usually represents the code of the particular country.

On the other hand, the suffix can either be letters or numbers used for identification.

Generally, the VAT number consists of 4-15 digits.

In essence, it begins with a country code then followed by a block of digits or characters depending on a country’s preference.

For instance, VAT Number for Germany would be something like DE123456789.

The most crucial element to note, however, is that the VAT number for every business is unique in every country.

In other words, your business can never share a VAT number with a different company in the same country.

Who needs a VAT Number?

VAT number is an essential requirement for businesses and any other person carrying out a specific economic activity.

It is also a requirement for any registered profit-making organization.

In principle, though, the business or company is obliged to acquire VAT number on the following grounds;

  • If it carries out supply of products or services taxed with VAT
  • If it receives services for which it is liable to pay VAT under the stipulated directives
  • If it supplies products or services for which the customer is liable to pay VAT
  • If it makes the inter-country acquisition of products.

Role of VAT Number

VAT number is a vital component in both national and international business.

It plays an integral role in enhancing the efficiency of carrying out business in a country.

In principle, it connects your business with the government, particularly for taxation purposes.

Some of the roles of this unique number include the following;

· Tracking Business’ Input and Output VAT

One of the roles of VAT numbers is to help in easy tracking of your business’ input and output VAT.

You will always receive a VAT number for your business once you register it for the VAT tax system in a particular country.

This number comes in handy in tracking the value of tax your business pays and collects through expenses and revenue.

In principle, you, therefore, need to put your business’ VAT number on all your tax invoices and receipts.

· Filling VAT Returns

In many countries worldwide, it is a prerogative of the businesses to ensure that they file tax returns.

This usually happens after a financial year when you need to use the VAT number and VAT invoice records.

These two enable you to determine the amount of money in form of tax your business owes the company or vice versa.

· For Selling B2B

Whenever you sell to a VAT registered business, they also issue you with a VAT number for their business.

This makes it easy for you to always use the reverse-charge mechanism for the transaction.

More importantly, is to ensure you verify the validity of VAT number the specific country’s tax system.

When You need a VAT Number

When registering a business, in most cases, the VAT number is usually assigned directly at the tax office in most countries.

Numerous considerations take into account the moment you decide whether or not to register for a VAT number.

You need to envisage the possibility of your company having a turnover above the threshold set by the government.

Otherwise, it would be advisable to avoid registering the business yet to simplify your accounting responsibilities.

In any case, you must be careful when making this decision.

In principle, any period you exceed the threshold and fail to register for VAT, you may face financial consequences.

However, early VAT registration is advisable.

It prevents your business from the burden of administrative work related to changing the accounting system.

It also allows you to avert incidences of re-pricing products and services later as the business operations continue.

If you have invested massive capital in your business, it would also be ideal for getting VAT number as early as possible.

In this case, it means you can reclaim VAT paid on onset expenses.

If you sell items from a different country and exceed the distance selling threshold, you need a VAT number.

If you are a foreign entrepreneur, you may also need to get a VAT number in the respective country you are trading in.

Some of the typical incidences whereas a foreign investor you must obtain a local VAT number include the following;

  • When a foreign business buys and sells merchandise in another country
  • Storage of products in warehouses or based on consignment in other countries for customers
  • Sale of commodities to buyers via various forms of online platforms or through catalogs
  • When business imports goods from different countries.
  • Having a live conference, training session, or exhibition with paid admission
  • Supply and installation of equipment or machinery in a restricted number of circumstances.

Generally, non-resident companies are often required to register for VAT immediately.

As you can see, there are several situations, which require VAT registration to get a VAT number.

Therefore, it is always essential to do due diligence on the circumstances of getting this particular number for a specific country.

Where to Apply for VAR Number

Nowadays, many countries have integrated their tax systems with various online platforms.

In essence, it means you can simply apply the VAR numbers from the online platform of the respective tax office.

An online application usually requires filling all the required fields with relevant information.

You will also need to attach a few documents for the tax officials to review before issuing a VAT number.

Most tax offices across the world use different software systems

In some countries, however, you can apply for the VAT number through email.

In essence, you need to send an email to the respective tax office requesting VAT registration.

Response or feedback usually varies depending on the policies of different tax offices.

Information Required in VAT Number Application

Essentially, when registering for a VAT number, you must provide different types of documents and information.

And these usually vary from one country to another even though a few documents often remain the same.

Some of the important documents necessary for VAT number application include the following;

  • Evidence of VAT or tax registration in the country of origin
  • Copy of certificate of incorporation for the business
  • An extract from the national register of companies demonstrating evidence of the existence
  • Evidence of the planned trade such as invoices and contracts among others

Difference between Tax Number, Tax ID Number, and VAT Number

In different countries across the world, there are various kinds of tax numbers with varying functions and references.

In most instances, they come as tax number, tax ID number, and VAT number.

Tax number refers to a personal number, and it’s based on the taxpayer’s country of residence.

The abbreviations for tax numbers vary from one country to another.

However, once you move to a new location, you will receive a unique tax number for the respective location.

Tax identification number, on the other hand, is also more or less similar to a personal number.

The main difference here is that Tax ID number hardly changes even when you shift from location to another.

It remains the same for the rest of your life.

Entrepreneurs or business persons are the only parties that need a VAT identification number.

Employees usually never require a VAT number.

Persons or companies supplying goods and services in a country or regional economic bloc also requires a VAT number.

In essence, almost all products and services are usually subject to VAT.

Technically, Tax number and tax ID number are usually needed by employers for their respective employees.

However, the government must require a VAT number for all businesses and companies offering VATable products and services.

The Importance of VAT Number

VAT number is an integral component in business and companies.

Most governments depend on taxes as a source of funds for various operations within the country.

Therefore, having a VAT number facilitates an easier way of collecting and reimbursing money in businesses.

Nevertheless, VAT number is important in various ways, which include the following;

· Establishing Relations with other Businesses

When your company is VAT registered, it is easy for you to form business relations with other companies.

Most of the companies involved in relatively large transactions always prefer to deal with other VAT registered companies.

Technically, it creates an impression of the size and commitment of your company to its specific area of business.

· Helps in Identifying the Place of Taxation

VAT number makes it easy to determine the exact place of taxation.

Several companies carry out businesses from different perspectives.

Therefore, in some instances, it can be difficult to identify the place of taxation without a trail.

VAT number hence makes it possible to identify the place of taxation and consequently to enhance transparency in taxation process.

· Helps in Identifying Tax Status of the Business

It is easy to determine whether the business is up to date regarding taxation when you have a VAT number.

The VAT systems are always integrated, thus making it possible to identify your business’ status as far as tax is concerned.

The essence of this is it prevents you from accruing or overpaying tax.

You can always use it to monitor the tax status any time you in need.

· Helps in the Auditing Process

Sustainability and growth of a business are determined largely by the transparency and monitoring of the revenue and expenses.

This way, you can easily figure out the specific areas, which require fiscal attention at the right time.

VAT number thus plays a vital role in the overall auditing process.

You’ll easily determine the amount of money the company spent on tax.

Moreover, you can also identify the amount of money the government owes the business and how to obtain it.

As you can see from this guide, VAT number is a critical element in the business, both local and international.

Hopefully, you have understood a wide range of elements concerning this number.

Ultimately, you’ll make the right steps in making sure you attain and use it the right way for your business.

If you have any inquiries regarding different aspects surrounding VAT number, feel free to reach to us.

We will always assist you in matters to do with VAT number irrespective of the country you seek one.

Container Freight Station: The Ultimate Guide

In the past, the goods were often sorted at the time of onboarding while loading smaller shipments.

However, the introduction of containerized shipping ensured goods can only be organized and classified before onboarding.

In this guide, you’ll understand the role, significance, and impact of CFS in international shipping and supply chain.

Container shipping

Meaning of Container Freight Station

Container Freight Station is commonly known as CFS.

It refers to a warehouse where cargo belonging to different importers and exporters is consolidated and deconsolidated before exporting or importing.

In simple terms, CFS is a space for storing consignments before loading and after loading the cargo.

For LCL shipments, the CFS is often owned by a terminal or shipping line with a warehouse near the port.

The entity owning the CFS, in this case, is responsible for customs assessments and clearance protocols.

In LCL, shipments belong to different clients.

Thus the cargo is loaded in a single container and brought to CFS for consolidation before dispatching to an ultimate destination.

Several import-export transactions occur in this station both at the point of origin and destination.

In principle, CFS is thus categorized as origin CFS and destination CFS.

All the dealings are often processed through customs authentications in a customs notified area.

The main link between CFS and other entities involved in the transaction is a Customs Agent.

Benefits of Container Freight Station

In general, container freight station is an essential part of import-export logistics in various ways such as the following;

  • Ideally, CFS plays a vital role in in facilitating intermodal transport. This helps in cost savings and better control of inventory

It is also essential in optimizing the process of sending smaller consignments to their respective destinations.

Consolidation of LCL shipments into larger containers.

This makes it easy for freight of the same or different clients being transported towards same destination.

  • CFS creates a centralized location for both exporters and importers to send and receive their products, respectively.

It serves as a staging area for imports-exports.

  • Goods at the CFS are often consolidated into containers. While at it, each vessel receives a unique ID number.

This number is vital in assisting you in tracking the containers as well as the product.

  • In CFS, an appropriate list is generated and maintained. This includes the importer/exporter name, Customs agent name/house, and the product.

The data also captures port of loading/unloading the cargo, truck number, size, quantity, and shipping line, among others.

This is essential since it helps in preventing loss of cargo and confusion in the entire process.

  • Since goods shipped are containerized, it becomes difficult for them to get damaged.

It offers greater cargo security, efficient and timely loading, unloading, stuffing, and de-stuffing.

In essence, it helps in facilitating a smooth transaction process between the exporter and the importer.

  • Technically, CFS serves as a central point for consolidating smaller shipments. This is vital in reducing empty container movement hence making LCL shipments relatively cost-effective.
  • CFS is also essential since it enhances automation for loading and unloading of containers at the docking point.
  • In many instances, custom clearance protocols are hardly required in CFS. The importance of this is it enhances convenience by freeing you from the would-be daunting customs process.
  • It also helps in decongesting the ports and terminals. And this is critical because it averts delays and inconveniences that would arise due to congestion in ports and terminals.
  • CFS stations have both Foreign Trade Zone (FTZ) and Non-Foreign Trade Zone (Non-FTZ) components.

Essentially, many shippers often take advantage of keeping their commodities in-bond on a customs form.

It allows the shipper to defer taxes and duties payment until it is consumed in a manufacturing process or sold to customers.

  • CFS is ideal for time-sensitive air-freight shipments.

In this aspect, it facilitates the fast and direct movement of such consignments from airport and delivery to various destinations.

And this happens within a short time-frame.

  • This facility provides an extra layer of security hence reducing the risk of damage or theft of shipments.

Goods are shipped directly from port to the CFS warehouse.

  • It enhances supply chain efficiency. This is particular for business, which involves frequent exportation and importation of goods that need short term storage.

Types of Container Freight Stations

CFS is categorized into two types, and they include the following;

a) Origin CFS

This refers to a container freight station situated in the country where the shipment is originating from.

Origin CFS is where consolidation of freight takes place before the items are shipped to the respective destination station.

b) Destination CFS

This is the type of CFS in destination country where deconsolidation of freight takes place.

This happens before every individual shipment is dispatched to the respective rightful customer.

How Container Freight Station Works

CFS is crucial in both the embarking and disembarking process of the goods from the point of origin to destination.

Therefore, it works from a different perspective, depending on the point of export or destination.

Here are the general procedures followed by CFS in these two existing contexts;

Role of Container Freight Station in Import

Ostensibly, CFS serves as an extended part of the port.

As you import products, they can be delivered directly to the CFS rather than sending them to the port or container terminal.

In essence, this helps in reducing congestion at the port considerably.

Here is a practical example;

Company X from US is expecting a shipment from Chinese-based Company Y.

The exporter or seller prepares all the relevant shipping and customs documents accordingly and notifies the relevant entities.

Once the shipments dock at the port, they are transferred to CFS, and ensuing processes followed.

  • The consignment received at the US port is verified by the customs department and subsequently stacked at the station.
  • The agents/ importers must file the relevant documents accordingly before taking the consignment to CFS.
  • The CFS disembark the items from the containers.
  • The customs agent or importer must file a Bill of Entry with customs. After that the items are evaluated, and payment for duty or tax is made.
  • At post customs clearance, the department issues an “out of Charge” order. Goods are thus released from CFS with a gate pass issued to you.

Role of Container Freight Station in Export Business

As mentioned, CFS is in charge of cargo consolidation and stuffing it in containers before shipping.

Of course, the entire process is vital in reducing congestion at the port of origin and ensuring efficient cargo shipping.

In export, CFS works a bit differently, and here is the process from a practical example perspective;

Company X from US has cargo shipped to Company Y in China.

  • The exporter/supplier loads the goods inside a truck and delivers it at the nominated CFS together with the shipping bill.
  • The shipment then undergoes the loading and carting process.
  • The items will then be scanned and substantiated in the warehouse before stuffed inside containers.
  • The container is sealed as a security measure by the customs representative and sent out of CFS to the port.
  • Once the goods get to the port, they are shipped to the destination’s port through the preferred shipping line.

The Main Receiving Services of CFS

CFS has a set of receiving services provided between receiving cargo from exporters and stuffing them into containers.

CFS plays a fundamental role in various shipping and supply chain processes.

Some of the receiving services and responsibilities of this particular facility include the following;

  • Receiving and dispatching the cargo
  • Receiving and consolidating LCL shipment for export
  • Moving empty containers from a specified container yard to the respective CFS
  • Issuing shipping orders and dock receipts
  • Physical movement inside and outside the CFS facility
  • Stuffing, sealing as well as marking the containers for easy and accurate labeling and identification.
  • Typical sorting and stacking of goods in containers in pre or post-shipment.
  • Drayage of containers from the container yards (CY) to a CFS
  • Preparing a feasible plan for container’s internal load.
  • Storage of containers
  • Providing shipping order or dock receipts
  • Consolidation and deconsolidation of cargo, especially in LCL shipments

What is CFS Port Area?

Generally, the CFS is expected to handle break-bulk cargo originating/terminating in the immediate hinterland.

In other instances, this facility may also deal with rail borne traffic to and from inland zones.

Therefore, the minimum area requirement for a CFS should be at least one hectare.

Container Freight Station Requirements

Typically, different countries have various policies surrounding requirements for container freight stations within their jurisdiction.

The responsible body in most countries always look into the following requirements for CFS;

1) Feasibility Report

There is a feasibility study or survey that must precede establishing of a CFS.

A copy of the same report is attached to the application for setting up this particular facility.

Technically, the facility must demonstrate its economic viability to the government and efficiency to users and the intermodal transport system.

It should also meet a specified level of traffic volume depending on the underlying factors.

2) Land Requirements

In most countries, CFS within major cities should cover at least one acre of land.

Those projected outside limits of major cities should be at least three acres.

The applicant, however, must have legal rights over the land proposed for CFS development.

In case the land is leased, a lease agreement should be provided, and it should entail the lease period.

3) Design and Layout

The design and layout of the CFS should conform to modern designs with most of the art-of-the-art equipment.

The mechanical/electrical facilities should also meet the required international standards.

The lay-out needs a seamless flow of vehicles, containers, and cargo through the container freight station.

The design for a CFS should largely incorporate several features. Some of these features include;

  • Container yard
  • Pavements
  • Roads
  • Siding
  • Gatehouse
  • Boundary wall
  • Public amenities
  • Gatehouse

4) Equipping CFS

The CFS should project to have the most modern handling equipment for loading and unloading of containers.

For instance, some of the handling equipment include;

  • Forklift
  • Lift truck loaders
  • Rail-mounted yard gantry crane
  • Reach stacker
  • Rubber-tired yard gantry crane

5) Tariff

You must also work out the costing and tariff structure as part of the feasibility studies.

6) General

Establishing the ideal inventory and tracking system in locating cargo and container is paramount.

Every functional unit of CFS needs to be up to date.

Moreover, setting up online information regarding all functional units would be more effective.

Procedures for Setting Up CFS

Setting up CFS is quite demanding in most countries.

There are several interventions, which must be put in place regarding the procedures for establishing this facility.

In general, though, a company interested in establishing a CFS needs to present its proposal to the respective agency in a particular country.

Some of the general procedures include the following;

Applying – You need to draft an application and fill in all the details accordingly.

In many instances, applications are often done online nowadays.

Once the application/proposal is received, it is evaluated by the relevant officials to determine whether it meets the required conditions.

Technically, the proposal for establishing a CFS is considered based on the stipulated guidelines and cleared on merits of responsible body.

Once the proposal is approved, you’ll receive a letter of intent from the responsible body.

You’ll then be required to set up the facility within the specified time-frame from the approval date.

However, an extension can be offered upon request and approval from the concerned body.

Once a letter of intent is issued, the facility is notified as a container freight station.

After the facility is set up, a notification declaring it as a customs area is issued.

But it has to meet and satisfy all the stipulated conditions related to development of infrastructure & facilities.

How doe CFS Compare with ICD

Customs Freight Station and Internal Cargo Depot are both facilities for handling and storing containers.

Ideally, CFS and ICD are the same, only that the latter appears to be an Indian concept.

Unlike CFS, which is located close to the ports, ICD is located relatively further away from the ports and terminals.

The idea of ICD is to enable importers and exporters to handle their cargo comparatively close to their warehouses and factories.

And this is common, especially when factories and warehouses are much far from the ports and terminals.

It is for this reason that the ICD, in some instances, is also referred to as dry port.

Also, ICD is an independent customs point like those available at ports and airports.

This facility has its automated system, enabling it to examine shipments, assess, and process paperwork.

By contrast, customs facility at the CFS is an extension of the main customs station at the port.

In essence, CFS examines goods, but processing and assessment of paperwork occur at the specific customs station the CFS is attached to.

How Container Freight Station and Container Yard Compare

Container Yard is a zone within container terminal or port or dry port where FCL containers are stored.

Such FCL containers are stored in CY after offloading from the vessel in case of imports.

They can also be stored in CY before loaded on a ship in case of exports.

CY facility is a dedicated area for FCL containers, whereas CFS deals with LCL and FCL containers.

CFS, on the other hand, is a warehouse where goods for different importers and exporters are consolidated and deconsolidated.

This happens before exporting or after importation, respectively.

The location of a container yard is within the port.

On the contrary, the location of a CFS is close to the port or a terminal.

Ideally, CFS picks containers and shipments from a CY to facilitate FCL and LCL shipping.

The role of a CY is to align containers for loading on ships and storing off-loaded shipments.

The storage duration lasts until they are transferred to a CFS, rail yard, or handed over to the customer.

Tentatively, both CFS and CY have cut-off dates.

It thus means there is a need for a container to be delivered to make scheduled sailing.

Comparison between CFS and Bonded Warehouse

Bonded warehouse refers to a space authorized by the customs department to provide storage services for imports and exports with deferred duty payment.

The conception of this idea was a measure of insulating trader’s experiences cash-flow issues.

Technically, the bonded warehouse’s essence is to provide traders more time to raise enough money needed for duty.

Alternatively, it allows them to get sufficient time to find buyers for specific items.

The importer can push the duty payable to the customer by transferring the title of goods.

In case you fail to find a buyer, you can export the items without paying duty on it.

Some of the elements where CFS and bonded warehouse differs include the following;

· Type of Storage Goods

In a bonded warehouse, the types of goods stored include the following;

  • Imported items await completion of customs procedures and preparation to get into the market.
  • Transited shipments awaiting exportation to the third country
  • Goods awaiting export but with completed customs clearance.

On the other hand, the types of goods that can be stored in a customs freight station include the following;

  • Imported goods without complete customs clearance
  • Exported goods with completed customs procedures. The goods can as well be registered with customs declaration waiting for physical inspection in CFS.

Leasing Period for Warehouse

In bonded warehouse, the lease term hardly exceeds 12 months from date of delivery.

The leasing contract can only be extended once for not more than 12 months only if there are plausible reasons.

In CFS, however, the warehouse lease term not more than 90 days from the date of delivery.

In case of any plausible reasons, they may extend the duration up to a maximum of 90 days after approval from the relevant body.

Customs Procedures

Customs procedures for bonded warehouse are categorized into different cases, which include the following;

  • For items from foreign nations to be bonded
  • For items brought from FTZ or inland from bonded warehouses
  • For shipments dispatched from bonded warehouses for export in foreign countries
  • For shipments delivered from bonded warehouses for import into non-tariff or inland zones
  • For products to be transported to a different bonded warehouse

However, when it comes to CFS, there are two primary customs procedures, which include the following;

  • For imported goods
  • For exported goods

CY/CY and CFS/CFS Terms of Bill of Lading

Bill of Lading is a critical document in ocean shipping often issued to the shipper by freight agent or carrier.

It contains several details, including various terms of CY/CY and CFS/CFS.

The terms on Bill of Lading include the following;

· CY/CY

It refers to an FCL shipment collected at origin port’s container and delivered to a consignee at the destination’s port container yard.

In this case, it is the carrier’s responsibility to ship the consignment from CY at the port of origin to CY at destination port.

These shipments typically have one shipper and consignee. In some instances, they are also known as FCL/FCL shipments.

· CFS/CFS

This refers to a consignment where items heading to a specific destination are consolidated at a container freight station.

It typically involves LCL shipments at the port of origin where they’re deconsolidated at CFS at destination port.

Thus often have multiple consignees and shippers. It may also be referred to as LCL/LCL shipments.

· CFS/CY (Pier to House)

It is a consolidation of LCL shipments at the port of origin, consolidating goods of different buyers.

The LCL shipment is delivered to a single consignee at port of destination container yard despite having multiple shippers.

· CY/CFS (House to Pier)

This refers to when the shipment is collected from the port of origin’s container yard.

It is then delivered to container freight station at destination port where its deconsolidation takes place.

CY/CFS often have multiple consignees and one shipper. They are also known as LCL/ FCL shipments.

Functions and Responsibilities of CFS

Container freight stations have become a sought-after facility in import-export.

This is mainly, as a result, increasing demand for LCL shipments.

Thus CFS plays several functions hence significant to the overall import-export process.

Knowing the functions and significance of CFS is one of the ideal ways of understanding CFS in-depth.

Some of these functions and responsibilities include the following;

  • Evaluation and verification of import-export shipments by customs department for efficient customs clearance.
  • Facilitating intermodal transportation of containers to port of origin and from port of destination.
  • Organizing customs clearance procedures, which include classification, examination, and evaluation of products.
  • Dealing with break bulking cargo originating or terminating in the close port or terminal hinterland. This is in addition to rail-borne traffic to and from inland areas.
  • Tracking system for monitoring status and location of cargo and containers
  • Temporary cargo storage services and laden or empty containers.
  • Maintenance and repair of damaged containers
  • Storing products safely until they are ready for shipping or picking
  • Moving empty containers from container yards and laden containers to port of terminal.

Container Freight Station Fees

Ideally, the charges for CFS usually vary depending on different provides.

The charges also vary depending on the dimensions of the specific container.

Therefore, it is always advisable to inquire about the pricing from different providers.

This allows you to find the specific one, which suits your needs fits within your budget.

In many cases, freight forwarder consolidators usually have different contracts with warehouses.

Thus the specific container freight stations may charge different rates depending on the freight forwarder used.

Nevertheless, there are other additional CFS charges dependent on whether it is export or import activity.

Some of the export activities, which attract charges in CFS include cargo storage and container stuffing.

Also, charges for per-day ground rent for laden and empty containers may apply for export activities.

For import CFS, some of the activities that may attract charges include;

  • De-stuffing and delivery
  • Cargo storage
  • Container scanning
  • Cargo handling

The general and extra CFS charges include;

  • Cargo shifting within CFS
  • Container repairs
  • Amendments in documents
  • Container cleaning
  • Transportation to and from CFS/Port
  • Reefer handling
  • Weight verification

As you can see from this guide, a container freight station is a fundamental shipping industry facility.

Over the last years, CFS has transformed the manner of storing and shipping consignments to and from different countries.

Most importantly, it has enhanced the efficiency in carrying out a wide range of import-export business.

Hopefully, you’ve learned meaningful information from this guide.

In case you have any questions or inquiries,feel free to contact us.

We’ll assist you in all matters of CFS and any related issues.