China is the worlds largest manufacturing hub. This guide helps foreigners find reliable suppliers and navigate the sourcing process.
Major Sourcing Hubs by Product
| Product Category | City/Region | Market |
|---|---|---|
| Electronics | Shenzhen | Huaqiangbei |
| Textiles | Guangzhou, Shaoxing | China Textile City |
| Hardware | Yongkang, Yiwu | Yiwu Market |
| Furniture | Foshan, Dongguan | Lecong Furniture |
| Auto Parts | Guangzhou, Shanghai | Various |
Finding Suppliers
Online Platforms
- Alibaba.com: Largest B2B platform, verified suppliers
- Global Sources: Electronics focus, trade shows
- Made-in-China.com: Wide range of products
- 1688.com: Domestic prices (Chinese only)
Trade Shows
- Canton Fair: Largest, twice yearly (April, October)
- Yiwu Fair: Consumer goods, small commodities
- China Hi-Tech Fair: Technology products
Supplier Verification
Red Flags
- Unusually low prices
- Refuses factory visits
- No business license
- Only accepts Western Union
- Poor communication
Due Diligence Steps
- Request business license
- Check company registration (qcc.com)
- Visit factory in person
- Request samples before bulk order
- Start with small trial order
Negotiation Tips
- Prices are rarely fixed – always negotiate
- Order quantity affects price significantly
- Payment terms: 30% deposit, 70% before shipment
- Get everything in writing
- Build relationship, not just transaction
Quality Control
- Hire third-party inspection (SGS, BV, Intertek)
- Define quality standards clearly
- Inspect before final payment
- Have defect handling procedure
Shipping and Logistics
- FOB (Free on Board) most common
- EXW (Ex Works) gives more control
- Use freight forwarder for complex shipments
- Factor in shipping costs when calculating margins
