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Thread: HELP! Need experienced mentor who can help me deal with China...

  1. #1
    Kate Price is offline
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    Default HELP! Need experienced mentor who can help me deal with China...

    So I've been in contact with suppliers to have some jewelry made for my company for about 6 weeks now, and I'm becoming increasingly frustrated because I can't seem to find a company that I feel remotely comfortable working with.

    I've watched a few videos on GlobalSources.com, and that REALLY helped. In fact, it helped so much that I know I need a mentor or someone to help guide me through the process bc I'm in over my head.

    My online jewelry company will suffer if I try to do this without support, so here I am. It's still early in the project, no money has been exchanged, and no deals have been struck. I'm still narrowing down contenders, but I'm fairly underwhelmed with the ones I've been in touch with thus far.

    I'm positive this can be done right, and I'm not sure where I'm going wrong in terms of finding legitimate and ethical companies to work with who can still give me an edge in terms of competitive pricing. So, if you have experience having things made in China and you wouldn't mind helping me through this process, PLEASE contact me.

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    PatrickP is offline
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    I would suggest you find one local or at least one you can go visit. Yes you may pay more than if you go overseas but better to get what you pay for especially when you start.

    Then as you get larger and have more money you can go overseas.

  3. #3
    verial is offline
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    I am positioned in China (Taiwan, actually) and have helped several of my clients find suppliers in China.

    Your feeling is correct: Most of those you are going to contact with are unprofessional. They will either fail in communications or drop the ball once you give them a project. There few good ones I've seen have been in Hong Kong.

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    mayana is offline
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    I have ordered a few different packaging items directly from China. I'm not 100% sure, but I think the company that I deal with does both import/export of different types of items, since we were discussing potentially exporting my products through them. The contact person's name is Claire. They accepted payments via PayPal (which made me feel really comfortable).

    Ningbo Tane Box & Paper Mfg.Inc.
    Add: #1678,Huancheng Nanlu, Ningbo, Zhejiang,China

    Tel: 0574 28850935
    Fax: 0574 28850935
    Mobile Phone: 15967862160
    Ningbo Tane Box & Paper Factory - Display box, gift box, white box
    email: taneboxmfg@gmail.com
    MSN: taneboxmfg@live.cn

    I found this company through alibaba.com, and I was also very nervous about trying to buy something directly from China. I think the most important thing is to realize that it is going to take a while to communicate your expectations of the products. There will be a lot of back and forth with specs, pictures, etc, since they really do want to make sure that they get the items done correctly. It took me at probably 6 weeks to get my first order, and it was a simple item, so I would expect more with a more complicated product.

    And don't forget to ask them if they will take care of shipping for you. This company handles shipping for me, and since the items are small, they can send them via UPS. Shipping will also add a large amount to your total costs, as well. For me, it was about 50% of the total cost of my order.

    I agree with the person who suggested that it would be best to see if you can get your items in the U.S. For me, it wasn't possible, but for something like jewelry, you just might be able to find a U.S. supplier.

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    PatrickP is offline
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    ntapia did you have to deal with US customs?

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    Vigilante is offline
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    Quick tip for import beginners...

    keep the cost of goods (not including shipping) below U.S. $2k per shipment, and your shipment will qualify for informal entry into the United States (i.e. no customs bond, no entry paperwork, and no customs hassle what so ever). Informal Entry.

    Early on, just make sure you order less than $2k worth of merchandise, even if you need frequent orders to stay in stock. You can have a shipment hitting you every week, and as long as the value of the merchandise in that shipment is less than $2k it qualifies for informal entry into the united states... no need for a customs broker or any other customs related knowledge at that dollar level.

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    PatrickP is offline
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    Quote Originally Posted by Vigilante View Post
    Quick tip for import beginners...

    keep the cost of goods (not including shipping) below U.S. $2k per shipment, and your shipment will qualify for informal entry into the United States (i.e. no customs bond, no entry paperwork, and no customs hassle what so ever). Informal Entry.

    Early on, just make sure you order less than $2k worth of merchandise, even if you need frequent orders to stay in stock. You can have a shipment hitting you every week, and as long as the value of the merchandise in that shipment is less than $2k it qualifies for informal entry into the united states... no need for a customs broker or any other customs related knowledge at that dollar level.

    WHOA! Great info, never knew anything like that.

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    mayana is offline
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    Quote Originally Posted by Vigilante View Post
    Quick tip for import beginners...

    keep the cost of goods (not including shipping) below U.S. $2k per shipment, and your shipment will qualify for informal entry into the United States (i.e. no customs bond, no entry paperwork, and no customs hassle what so ever). Informal Entry.

    Early on, just make sure you order less than $2k worth of merchandise, even if you need frequent orders to stay in stock. You can have a shipment hitting you every week, and as long as the value of the merchandise in that shipment is less than $2k it qualifies for informal entry into the united states... no need for a customs broker or any other customs related knowledge at that dollar level.
    Well, that explains why I didn't have to deal with customs. That is very good to know - thanks!

  9. #9
    Vigilante is offline
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    Additional clarification to my above comment. You still, as the importer of record, are responsible for the import duties. For example, on these smaller shipments we will do the following :

    1. We will have the manufacturer ship from Asia to Minneapolis via. UPS. Typical transit time is 5 days TOTAL.

    2. We will prepay the manufacturer for shipping costs, which they will provide for us and we will include in the wire transfer to them that we use to pay for the merchandise.

    3. We will separate freight from merchandise costs as separate line items on the purchase order we provide to them, and on the invoice that they provide to us and remit with the shipment

    4. As long as the merchandise (excluding shipping costs) is <$2k U.S., it is INFORMAL ENTRY

    5. Note that you are still responsible for incoming duty. UPS generally will just invoice you after the fact for the duty. Duty ranges from 0% to 10% or more, so make SURE you know what the duty is before you do this. Don't be SURPRISED by this bill when you get it from UPS.

    This is easier than most people ever imagine. The reason that most people DON'T do this... is because they lack knowledge... even the very simple knowledge contained in the 5 steps above. Let me know if you have any additional questions in this regard.

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    Vigilante is offline
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    The next question someone is bound to ask, then, is...

    How do you figure out what your duty % is?

    The EASIEST way is to get a FREE binding ruling. A binding ruling is awesome, because it is FREE, it is DEFINTE, and it is not then subject to second guessing by UPS or anyone else. You have a permanent ruling on what the duty % is for the item(s) that you are importing. I would recommend taking this step on every item you bring in. Takes about thirty days to get the ruling back.

    You can read about this here : https://apps.cbp.gov/erulings/index.asp

    Alternatively, if you want to go below radar even more than that, you can ALWAYS just call your local CBP office and ask them the question. You can call the office of customs and border protection, ask for an import specialist, and describe the merchandise to them. They will nearly always give you the correct answer, but then they will almost always advise you to get a binding ruling on it (which is a totally optional process).

    Kind of like a doctor that gives you a diagnosis based on your symptoms, but then tells you to get an MRI so that you know for sure.

    A list of local phone numbers for CBP can be found here :
    U.S. Customs and Border Protection - Contacts

    If you choose to go that route, after asking to speak with an import specialist, introduce yourself... tell them you are a brand new importer, want to bring a test shipment in via. informal entry, that you are not working with a freight broker, and are trying to find out the HTS code and duty % for the merchandise you want to bring into the country. (An HTS code is the "Harmonized Tariff Schedule) that is a global code for merchandise. If you try and search for the HTS code yourself, it might take you dozens of hours and tons of frustration. I recommend simply calling, or filing for a binding ruling per above step.)

    Remember, under $2k = no broker, no bond, no customs paperwork. You still have to pay the duty, but UPS can help you with that (or USPS if you select a slower shipping method like China Post, etc...)
    mrsilva likes this.

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