China Sourcing: Shipping Drama & Supplier Selection
I’m honored to serve as the primary content curator for Global Sources’ knowledge center. I also volunteer to lead the China Sourcing “ask the experts” help desk for Global Sources.
Here is how we answered questions about shipping from China and how to find a supplier of computer components, but the answers are applicable to a wide range of products, so I decided to blog about the Q&A.
The shipping companies have created an impossible situation by constant increase in sea freight. They have done away with all business norms and offer space to the highest bidder. How do you deal with this high seas thuggery?
Mike’s Reply:
So true. That’s one reason why so many US companies are seriously looking at “re-shoring” or trading China for Mexico if they are unable to pass the increased costs on to the consumer. BUT the fact that China remains the world’s production line for so many product categories is a testament to how hard it is to just pick up and move production to another part of the world. China made it so easy to source for so long, the shipping companies are using their leverage to capture the fat in the supply chain that used to end up in the US buyers’ pockets.
I am looking for graphics card manufactures and I seem to keep ending up with trading companies or distributors/wholesalers. I am only starting out, so my orders will only be around 10-50 to start with but if all goes well I would increase this to around 100-200 per month. What is the best way to find actual manufacturers?
Mike’s Reply:
It’s easy to source from China, IF your orders are large. Buying factory direct with small order sizes is no easy task. But if you want to give yourself a fighting chance, I offer 5 potential strategies in this full-length video tutorial: https://vimeo.com/522155488
ABL Blog: Sr. Editor and Primary Content Creator: Michael J. Bellamy
Originally from Upstate New York, Mike moved to Asia in 1993 and is a China business advisor to both Fortune 500 companies and small businesses. Recognized as an expert on doing business in China, he has been interviewed by WSJ, CNBC, FT & Bloomberg.
A featured presenter on China issues at seminars, trade shows and corporate events across the globe.
Learn more about Mike and AsiaBridge Law at
https://www.asiabridgelaw.com/business-advisory-services/
Mike is the author of “The Essential Reference Guide to China Sourcing”
(available on Amazon).