5 Things to Think About Before Importing from China

Today, it is very difficult to establish an e-commerce site and run it profitably without importing products from China. Because Chinese manufacturers frequently make goods at a lower cost, sales profit margins are bigger. There are a few things to think about if you wish to import products from China to Germany and sell them here or in the EU. These five suggestions include:

  1. Find reliable vendors: You are seeking for someone to make the goods you already know you want to sell and that you are confident in their quality. If you don’t speak Chinese and don’t have any relationships in China, this is not that simple. Of course, you can start by checking the websites of the potential providers to see who they currently work with. The vendors may even give you references so you may get in touch with these clients and ask them for more details. But face-to-face interactions are preferable.
  2. Planning for Transportation – Timing Is Everything: You should seek out a logistics business that is knowledgeable about the various transport routes and, if necessary, can combine transport routes when shipping goods from China to the EU. You can get the most affordable and efficient transportation method from companies with internet platforms. It’s just as simple to book the best option for you immediately online by comparing alternative dates, rates, and modes of transportation. Finding the best carrier, negotiating reasonable pricing, and tracking the path of the products might be challenging for sole proprietors who do not import the same volume of items. Therefore, you should seek for a logistics business that can handle these tasks for you or create transport planning.
  3. Calculating Your Price Including Financing and Import Duties: Keep in mind that if you import products from outside the EU, import tariffs are assessed on the item’s worth as well as the cost of shipping or other transportation to the EU, packing, and insurance. The so-called duty rate, which varies depending on the product group to which your items are assigned, is not a set proportion. Excise taxes, such those on tobacco items, and import sales taxes are sometimes added to this, but you will still get your money back because you must include the sales tax in your sales price and pass it along to your customers.
  4. Shipping Records – You Receive Your Order: The import of goods from China also calls for a number of documentation. Either a sea waybill or a bill of lading, often known as a bill of lading, is required if your products are being shipped by sea. The bill of lading doubles as a title deed in addition to certifying the nature of commodities being transported. If you don’t pay for your items up front, a Bill of Lading like this is typically helpful. This is so long as the owner is still the sender and has not received complete payment. On the other hand, if the ordered items have already been paid for, an ocean bill of lading is typically adequate.
  5. Customs Procedure – Painful But Required: As a trader, you likely want to focus on marketing your products, but while importing from China, you cannot avoid taking care of the necessary customs formalities. For instance, if you submit at least ten customs declarations annually, you require an EORI number. The customs authorities can identify your organization using this number. Additionally, your products require a customs tariff number, which among other things informs the authorities of the product category to which your items belong. This figure is used to determine the rate of duty you must pay on your customs value, which includes the worth of the products plus the costs of packaging, shipping, and insurance.

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