Why Is China a Manufacturing Capital and Tips to Find a Reliable Chinese Manufacturer?

Why Is China a Manufacturing

China has become the world’s manufacturing capital because it specializes in different categories from automotive parts and petrochemicals to textile and clothing to kitchenware. Consumer products made in China differ in quality and price range. The Chinese manufacturers even design quality products without the company logo imprinted on them, so global customers prefer buying these and imprint their company logo and sell it in the market as their own brand.

Reasons why China is a leading manufacturer 

  • It is rich in natural resources, so the raw materials necessary for manufacturing are easily available.
  • The government controls Yuan [national currency] value to American Dollar, so Chinese goods are affordable to non-nationals.
  • Chinese labor pool works hard and the majority of them are competitive. Even if they study abroad and master a craft, more than 70% return home and teach their fellow countrymen.
  • Competitive employees learn from their bosses, quit the job, and start their own businesses.

Chinese manufacturing landscape has evolved a lot in the last decade. They are becoming great in designing, which is visible in their created prestigious brands targeted at worldwide consumers like the Huawei phones, Lenovo computers, Anker phone chargers, and the DJI drones. Today, consumer products from China do not mean cheap and unethical. The Chinese manufacturers are proposing to complete a job of better quality but at a high price.

Tips to find a reliable manufacturer in China

Finding a Chinese manufacturer is a daunting task for startups. Below are some tips to help you find a reliable manufacturer in China.

  • Online sourcing platforms like Made in China, Global Source, and Alibaba are great places to start. These platforms connect buyers to appropriate Chinese manufacturers. Just type your needs in the search bar.
  • Industry network recommendations from business contacts or trade bodies can help.
  • Trade fairs are a great place to look for a supplier or manufacturer.
  • Team up with a sourcing agent because they are generally locals and know their way around.
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Prepare a shortlist of potential manufacturers and research to narrow the list. For example, on the internet, you will need to filter because the results thrown by sourcing platforms or search engines may not be manufacturers but resellers. Sourcing consumer products in China directly from manufacturers reduce the cost. Visiting trade fairs in China may be impossible but you can check out the trade fairs in America. However, you will possibly find a limited Chinese supplier pool at US-based events.

If you contact a good sourcing agent then you will source goods from low-cost regions. For example, Chinese manufacturers are spread in several provinces but for consumer electronics, Guangdong is great, while for plastic molding & die casting Zhejiang offers good deals. Depending on sourcing agents experience will help to avoid pitfalls and your project originates successfully.

China consumer products sourcing agent is the best person to verify the manufacturer’s credentials. Even if you are provided with information from the supplier it is essential to evaluate. However, there can be a language barrier so it is wise to allow the sourcing agent to do the verification of the VAT invoice, audit accounts, licenses, and other certifications.

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