1.How much can we expect to save by sourcing from China?
You can expect to save about 15-40%. Since the manpower cost is low in China, sourcing from China will help you save on purchasing costs and significantly improve your market competition.
2.What is the general process of sourcing in China? We can make it easy!
Sourcing from China is relatively easy. Simply send your inquiry, and we will handle the rest.
The general process is:
* Inquiry – Quotation – Cost Confirmation <15 days>
* Building mold and tooling – initial samples approval <20-60 days>
* Mass Production and delivery for each order < 30-45 days>
Initially, you may need to send us inquiries with samples, drawings and annual usage quantity. We will quote the cost and feasibility study for your product(s) within 10 days.
If the cost is acceptable to you, we will build the tooling, mold and do quality checks for you. Initial samples will be offered to you within 20-60 days. After that, there may be some feedback from you with some corrections. This will take another 15-20days. Then we are ready to start producing your order.
Generally, for each order delivery, it will take 30-45 days for production. Then we can ship your goods to you.
3.What is your quality level and supply capability?
All of our manufacturing plants are ISO9000 certified. We are implementing ISO/TS16949 quality systems and are using numerically controlled CNC machines. We can also use process control (PPAP, SPC, etc.) per customer request.
4.I have heard many stories about failure with sourcing in China. How can I make it successful?
The key factors for the success of souring in China include:
1) precise technical translation
2) excellent facilities with engineering teams that have a good knowledge of the customer's quality requirements
3) working with a professional who is knowledgeable about the local Chinese industry,technology and cost level
4) local, on time, technical support and quality control
5) services enabling foreign currency transactions and shipment to the customer’s warehouse
We have combined all these factors within our company.
To guarantee a successful sourcing job, you definitely need an outstanding partner and support system that can completely provide.
Without this system, randomly choosing manufacturing plants by searching the internet is generally risky. Thus, some failure stories may have been caused by the following reasons:
*Sometimes, the plant, in reality, is not the same as how it is represented on the internet
*The American technical drawings are quite different from Chinese drawings. Very few plant engineering teams have professional English translators. For an English drawing, if only 5-8% of the specifications are mistranslated and/or not well understood, the mass production situation is out of control.
*Without local quality control at the job site, customers can only see products when they arrive at the warehouse, 30-40 days after shipment. For a component with 20-30 spec requirements, it is highly possible that there are product flaws when the customer finally receives his product(s).
*Local quality control audits are often not implemented. 1-2 months after shipment, when a product is found to be incorrect by the customer, it is generally not an easy task for the plant engineers who speak Chinese to understand the problem correctly. Consequently, it is best to send corrections/feedback to the manufacturer as soon as possible.
5.What kinds of items are suitable for sourcing in China?
The most suitable components are:
Higher volume parts: It is more economical, with limited efforts, to manufacture common products because when the purchasing quantity is large the customer will significantly save on purchasing costs.
Labor intensive parts: If labor costs, such as machining, welding and assembly are the major cost portion of a component, then it is suitable for sourcing as the labor costs are low in China. Consequently, customers will greatly save on purchasing costs.
6.How should a good inquiry be prepared? How long does it take to receive a quote?
It is very helpful for a customer to include drawings, expected purchasing quantity and samples when sending inquiries. Samples are always very helpful to give a confirmed price and determine the most efficient manufacturing process.
Usually, it will take 7-10 days to send out a quotation and feasibility study report.
7.How long does it take to get a sample for approval?
For simple machining, we can ship out samples within 7-10 days. For casting and stamping jobs that need new tooling, generally; we can finish building the new mold, tooling and submit initial samples in about 45-60 days, including all of the material certificates, size and tolerance checking reports.
8.What is your payment term for tooling costs? Is it a risk for us?
For the tooling costs, the customer only needs to pay 50% in advance. We will bear the rest of the costs from our side. This way, we will share the risk in developing a product together with customers. After the sample is approved, the customer is to pay the remaining 50%. If, for some reason, the project is a failure, we will return the 50% down payment to our customer.
9.How much time does it take to get ready for production?
In most cases, it will take approximately 45-60 days to have the product(s) ready for mass production.