China As Importer

Companies wishing to export to the Chinese marketplace may deal through trading companies or other agents, or handle their own sales through a representative office. It is common practice around the world for firms wishing to expand international trade to utilize the accumulated expertise of a trading firm. In addition, only those Chinese firms that have been explicitly given import/export authority by the government are permitted to sign contracts dealing with international trade. So it is easier to go directly to a trading company to find buyers.  These companies will often act as agents for domestic firms. 

Also, there are trading firms now starting to represent foreign manufacturers as a Western-style seller's agent.  They are mostly located in well-developed areas such as those in various special economic zones. 

In addition to the trading firms that have started acting as foreign companies' agents, there has also been a phenomenal growth of sale agents in China. These sale agents are the major elements behind the accelerated international trade transaction in China. Sale agents do not necessarily have the authority to actually sign the deal, and most of them don't have the import/export authority, but they can do everything up to that point. Once the deal is fully negotiated and all parties agree on terms, it is then turned over to a Chinese trading company with the authorities for signature, transfer of goods, and payment. 

Sale agents come in many size, shapes and forms. They may be either indigenous Chinese firms, firms based in Hong Kong or Chinese representative offices of foreign trading companies. For the most part, these firms are able to provide good regional coverage. Acquiring national coverage may take a fair amount of searching before settling in on an agent. Another possible choice is a Chinese domestic trading company. These firms are nominally under the Ministry of Domestic Trade and essentially amount to China's official wholesale network. Tapping into their expertise and connections could be very useful.  This is why our group can help you.  We are currently doing business in China and have been successfully for many years.

Once a company has decided that the Chinese marketplace is one of its ongoing concerns, and then a local representative office could help the development greatly. A representative office is essentially an in-house sales agent whom is not allowed to engage in profit-making activities. He does not sign contracts, nor can he bill clients for after-sale service, installation, or parts supply. However, keeping in touch may mean getting deals or losing them, that’s where our group can help you.  

There are many large firms in China involved in huge infrastructure projects.  No matter if they are in energy (coal, oil, power), transportation (air, rail, port, auto), telecommunications (digital transmission equipment, fiber optic) or environment, they will at one time or another need suppliers for one or more of their products and/or service needs.  Let our group help you to supply these large concerns.  This will give you a smooth entry into their marketplace. 

Another channel for exporters to get to know Chinese buyers are Exhibition Fairs.  There are fairs dedicated to almost every known industry, from computer hardware to packaging materials. Our group can take you to China, for a nominal fee, to assist you in the finding of these Chinese buyers.

 

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More Interesting Points In Dealing With China