Frequently Asked Questions
Everything you need to know to import from China
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The main ones are Alibaba.com (the largest in the world, ideal for international export with supplier verification), 1688.com (Alibaba's domestic Chinese-language version, with prices closer to factory level, requires a sourcing agent), Made-in-China.com (strong in industrial machinery) and Global Sources (focused on electronics). The Canton Fair (April and October in Guangzhou) is also a direct source of thousands of manufacturers. To get started, Alibaba is the most accessible option; for factory pricing, 1688 with Galium Cargo's support gives you access to terms that are not available on export platforms.
Signs of legitimacy: (1) Verified Supplier on Alibaba, which means an auditor has physically visited the factory. (2) Ask for the Chinese business license and check that the company name matches the bank account. (3) Look up the name on samr.gov.cn. (4) Review the supplier's history and ratings on the platform. (5) Request a video call showing the facilities in active production. (6) For significant orders, hire a factory audit from QIMA, SGS or Bureau Veritas. A legitimate supplier never refuses to share its business license.
A factory manufactures directly: better prices, higher MOQs, more limited English. A trading company buys from multiple factories: lower MOQs, more variety, better English, but higher prices. For high-volume orders of a single product, a factory is preferable. For small volumes or multiple products, a trading company can be more convenient.
China is organized into industrial clusters: Guangdong (Shenzhen, Guangzhou, Dongguan) for electronics, clothing and home appliances. Zhejiang (Yiwu, Hangzhou, Ningbo) for household goods, accessories and textiles. Jiangsu (Suzhou, Nanjing) for industrial machinery and precision manufacturing. Shandong for agricultural machinery. Fujian for footwear and sportswear. A supplier based outside its usual cluster should raise questions.
The standard is to contact 5 to 10 suppliers with the same technical brief. The most expensive 30% usually carry high margins; the cheapest 30% often hide quality shortcuts. Your real candidates are in the middle range. Narrow it down to 2 or 3 to request samples, and finally choose one for the first pilot order.
A good RFQ (Request for Quotation) includes: a product description with technical specifications (material, dimensions, color, finish), estimated quantity, shipping destination, preferred Incoterm, whether you need customization, the date you need the goods and basic details about your company. A detailed technical brief signals that you are a serious buyer and produces comparable quotes.
Key tools: DeepL for technical texts (more accurate than Google Translate), WeChat with automatic translation, and images and spec sheets, which cross any language barrier. For complex negotiations or high-value orders, Galium Cargo's team in Shanghai removes ambiguities that can cost you dearly when they affect technical specifications.
Yes. WeChat is the standard channel for everyday business communication in China, and suppliers reply faster there than by email. Important: always confirm key agreements (specifications, payment terms, dates) in the Purchase Order or in an email with the document attached.
Guanxi is the network of personal relationships built over time. A buyer with guanxi gets better prices, production priority and more flexibility. It is built by paying on time, sending greetings on key dates and increasing volume gradually. Mianzi is public reputation, or "face". Criticizing a supplier in public can damage the relationship beyond repair.
(1) Commitment to scale: a pilot order with a commitment to double the volume. (2) Fewer variants: fewer colors or models. (3) Larger deposit: 40-50% instead of the standard 30%. (4) Simpler packaging: it can represent 5-15% of the total cost. What does NOT work: threatening to switch suppliers when you have no real intention of doing so.
(1) Confirm the exact specifications before asking for it. (2) The supplier charges a sample fee (2-5x the unit price). (3) Negotiate for it to be deducted from your first bulk order. (4) Ask for shipping by DHL, FedEx or UPS. (5) Document it with photos. The approved sample becomes the golden sample against which the entire production run is inspected.
When the order represents a significant investment, the product is complex, or you are looking for a long-term relationship. The Canton Fair (April and October, Guangzhou) lets you evaluate hundreds of suppliers in 3-5 days. If you cannot travel, Galium Cargo can represent you with factory visits and a structured checklist.
From most to least secure: (1) Letter of Credit (L/C): the bank guarantees payment to the supplier against the shipping documents. (2) Alibaba Trade Assurance: the platform holds the payment until shipment is confirmed. (3) T/T 30/70: the most common standard. (4) D/P: the bank releases the documents only once the buyer pays. Avoid Western Union and PayPal for high-value B2B payments.
T/T (Telegraphic Transfer) is an international SWIFT bank transfer. 30% is paid when the purchase order is confirmed; the remaining 70% before shipment, ideally after a passed pre-shipment inspection. With new suppliers, making the 70% conditional on the inspection is the best protection.
BEC fraud is real: hackers intercept emails and send altered bank details. Protections: (1) Verify by WeChat or phone any bank details you receive by email. (2) Treat every "change of bank details" as a red flag. (3) Include the signed bank details in the contract. (4) Confirm that the beneficiary matches the supplier's business license.
Keep: the signed Purchase Order (PO); the SWIFT receipt for each payment; the Commercial Invoice; the Packing List; the Bill of Lading (B/L) or Air Waybill; quality certificates; and the certificate of origin if a free trade agreement with China applies.
An L/C is a banking instrument in which the buyer's bank guarantees payment to the supplier once the supplier presents the correct shipping documents. It is recommended for high-value orders or new, higher-risk suppliers. It carries bank fees (0.5-1.5% of the value) and requires very precise documentation.
Incoterms 2020 are 11 ICC terms that define: (1) who pays for each leg of transport, (2) where risk passes from seller to buyer, and (3) who handles insurance, customs and documentation. They are the foundation of any import contract. They are always stated with a specific place: "FOB Shanghai" or "CIF Buenos Aires".
EXW: the seller only makes the goods available at its factory. The buyer bears all costs and risks from that point on. Not recommended without a local agent in China: handling Chinese export clearance without local contacts adds unnecessary complexity.
FOB (Free On Board): the seller delivers the goods on board the vessel at the port of origin. The seller covers local transport to the port, export clearance and loading onto the vessel. From there, the importer takes on freight, insurance and customs at destination. It is the most common term because it clearly divides responsibilities and lets the importer control the international freight.
CIF (Cost, Insurance and Freight): the seller pays the cost, insurance and freight to the destination port. Risk passes to the buyer once the cargo is loaded on the vessel. The catch: the supplier chooses the freight forwarder, and the insurance is usually minimal. Experienced importers prefer FOB and hire their own forwarder and insurance.
DDP (Delivered Duty Paid): the seller takes care of everything, including duties, up to the buyer's door. It is the most convenient option but also the most expensive. It makes sense for small trial orders or when you do not yet have a customs broker in place.
FOB is the standard recommendation when you work with a freight forwarder or with Galium Cargo. For a first import with maximum simplicity, CIF can be a reasonable starting point. Avoid EXW if you do not have an established agent in China.
MOQ (Minimum Order Quantity) is the minimum quantity a manufacturer agrees to produce per order. It varies: from 50-100 units for simple items up to 5,000 for clothing. The MOQ listed on Alibaba is rarely the real minimum; you can negotiate it down if you present the order as a pilot with a commitment to scale.
The most effective strategy is a pilot order with an explicit commitment to scale: "I want to start with X units to validate the market. If the quality meets expectations, I will confirm a second order at double the volume." A lower MOQ usually means a higher unit price, which is reasonable for a pilot order.
OEM: the importer designs the product and the manufacturer produces it. Full control, but it requires investment in engineering and molds. ODM: the manufacturer owns the design and the importer sells it under its own brand. It is the most accessible way to start. A common strategy: ODM first to validate the product, then OEM once the volume justifies it.
Yes, it is a standard practice called private label. You can customize the logo (screen printing, embroidery, engraving), color, packaging, labels and manuals. You will need: your logo in vector format (AI or EPS), a packaging design based on the supplier's die-line template, and the text for the labels.
3D design (weeks 1-4) → mold manufacturing (4-8 weeks) → T1 samples and validation (weeks 10-12). The mold is your property, so make sure this is stated in the contract. Check whether your projected volume justifies the investment before committing.
AQL (Acceptable Quality Level) defines how many defective units are acceptable in a batch, based on statistical sampling. Levels: AQL 4.0 for minor defects, AQL 2.5 for major defects, AQL 0.65-1.0 for critical defects. Example: AQL 2.5 on 2,000 units → 125 pieces inspected; more than 7 major defects means the batch is rejected.
A PSI (Pre-Shipment Inspection) checks the finished product at the factory before you pay the balance and authorize shipment. It covers quantity, visual quality to AQL, specifications, functional tests and packaging. You can book it with QIMA, SGS, Bureau Veritas, Intertek or Galium Cargo. The result is a report with photos so you can approve or reject the batch before it leaves China.
The golden sample is the final approved sample that serves as the official reference for the entire production run. It is referenced in the contract: "Production must conform to the sample approved on [date]." The pre-shipment inspector compares production against this standard. Without a golden sample, any quality dispute is hard to resolve.
(1) Factory audit: assesses production capacity before you place the order. (2) DUPRO: an inspection when 20-40% of production is complete. (3) PSI: the most common, when 80-100% is finished. (4) Container loading check: supervises how the container is loaded to confirm quantities and the condition of the packaging.
(1) Factory pickup by truck. (2) Consolidation warehouse: checking and organizing the goods. (3) Export clearance: declaration to Chinese customs. (4) Transport to the port. (5) Loading onto the vessel: under FOB, this is where the seller's responsibility ends. Galium Cargo coordinates this entire chain from its warehouse in Shanghai.
A consolidation warehouse receives goods from different suppliers, checks them and groups them before international shipping. It is valuable when you have orders with several suppliers, need to build up volume for a container, or need repackaging before shipment. Galium Cargo's warehouse in Shanghai receives goods from all over the country.
LCL: you pay only for the space you use. Convenient for less than 12-15 m3, with longer transit times and more handling. FCL: you rent an entire container (20 or 40 feet). Cheaper above a certain volume, with faster transit and lower risk of damage. The break-even point is usually around 14-16 m3.
Transit times from Shanghai, Shenzhen or Guangzhou: Colombia (Buenaventura/Cartagena): 25-35 days. Mexico (Manzanillo): 18-25 days. Spain (Valencia/Barcelona): 30-40 days. US West Coast: 14-18 days. US East Coast: 25-35 days. Total door-to-door time is usually 40-70 days depending on the destination.
Air (7-15 days): more expensive per kg. Suitable for high-value products, urgent shipments or very small volumes. Ocean: the standard for most imports, cheaper for bulky or heavy products, and a good fit when the delivery date is not urgent.
The Bill of Lading serves three purposes: it is a receipt confirming the shipping line received the cargo, a contract of carriage, and a document of title to the goods. The original B/L or a telex release is required to collect the cargo at destination. Check that the shipper, consignee, description and ports match the invoice and packing list exactly.
A freight forwarder coordinates international freight, export clearance at origin, shipping documents, cargo insurance and communication with the customs broker at destination. For an inexperienced importer it is practically essential. Galium Cargo acts as your freight forwarder from China to the destination port.
Yes, it is highly recommended. Shipping lines' liability is limited to a very low amount per kg. Cargo insurance covers the real value in case of total loss or damage. It costs 0.3-0.8% of the order value. Leaving a high-value shipment uninsured means taking a disproportionate risk for a minimal saving.
The most common are: BAF (bunker/fuel surcharge), THC (container handling at both ports), B/L fee (issuing the bill of lading), ISF/AMS (filings for the US and Canada). Always ask for an "all-in quote" that includes every surcharge so you can compare forwarders properly.
Standard documents: the Bill of Lading; the Commercial Invoice with value, description, Incoterm and details of both parties; the Packing List with weights and dimensions; the Certificate of Origin if applicable; product-specific technical documents; and a power of attorney for the customs broker. Having them ready before the ship arrives avoids demurrage costs.
Import duties are calculated as a percentage of the CIF value. To find the duty rate for your product: (1) identify its HS code; (2) look it up: Colombia: DIAN; Mexico: SAT/TIGIE; Spain: TARIC; US: USITC. Also factor in VAT on imports and any category-specific fees.
The HS code is a 6-digit classification that identifies each type of goods and determines the duty rate, restrictions and documentation requirements. Look it up with your national customs authority or at wcoomd.org. An incorrect code can lead to delays, fines or reclassification at a higher duty rate.
Technically you can, but a licensed customs broker is recommended. Brokers know tariff classification, avoid errors that lead to holds, and represent you before customs if there is an inspection. Galium Cargo can connect you with trusted brokers in Colombia, Mexico, Spain and the US.
A hold can happen because of incomplete documentation, questionable classification, suspected undervaluation or missing certificates. Your broker submits additional documents; if there is a physical inspection, it can take 1-5 more days. Demurrage costs are your responsibility. The best prevention: complete documentation, the real declared value and the correct HS code.
Products that usually require certification: electronics and electrical equipment, food, cosmetics, medical products, children's toys, vehicles and parts, and any product that emits radio frequency (Bluetooth, WiFi, LTE). The first step is to check the HS code with your country's regulatory authority. Galium Cargo can guide you before your first order.
CE (Conformité Européenne) marking is mandatory to sell in the EU: electronics, machinery, toys, medical devices and more. Responsibility lies with the European importer, not the Chinese manufacturer. Always verify the certificate's authenticity in the database of the corresponding European certification body.
FCC authorization is mandatory in the US for radio-frequency devices: smartphones, Bluetooth, WiFi routers, IoT. Routes: FCC ID (through an accredited lab) or SDoC (faster for low-power equipment). Without FCC authorization, US customs can hold and destroy the shipment.
Colombia: SIC for electronics; INVIMA for food, cosmetics and medical devices. Mexico: NOM standards apply to more than 70 categories; without a NOM the product will not clear customs (process: 4-16 weeks). Spain/EU: CE marking. Brazil: ANATEL/INMETRO, 3-6 months; we recommend tackling it in a second phase, once the product has been validated in another market.
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