The Complete Guide to Chinese Trade Shows for First-Time Visitors

Total landed cost is the only number that matters when comparing Chinese suppliers. It includes: factory price, inland freight to port, export customs fees, ocean/air freight, insurance, import duties, VAT, customs brokerage, and inland freight from destination port. A $10 product FOB can easily become $14-16 landed. Most first-time importers forget at least three cost components and end up with negative margins.

MOQ negotiation is an art. Chinese factories quote high MOQs because they're designed for mass production efficiency. To negotiate lower MOQs, offer: (1) a slightly higher unit price, (2) a commitment to repeat orders totaling the annual MOQ, (3) payment of mold/tooling costs upfront, or (4) acceptance of the factory's standard raw material sizes. The most effective approach combines multiple offers.

The sourcing cycle from initial contact to first shipment typically takes 3-6 months for new products. Month 1: supplier research and initial contact. Month 2: sample development and evaluation. Month 3: negotiation and order placement. Month 4: production (varies by product). Month 5: inspection and shipping. Month 6: delivery and evaluation. Plan your inventory accordingly and don't expect to compress this timeline without cutting corners.

Sample development has three stages with different costs. Stage 1 — existing sample or stock item: free or low cost, typically 1-3 days. Stage 2 — modified sample based on existing design: medium cost, 5-10 days. Stage 3 — fully custom sample: highest cost, 15-30 days. Many buyers skip to Stage 3 when Stage 1 or 2 would suffice. Save your custom development budget for when it truly matters.