china sourcer 201106

8/4/2019 China Sourcer 201106

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Column Strategic Sourcingwith Greg HutchinsP. 7

ColumnSourcing Dos andDontswith Stephen ChowP. 8

QuAlITY ConTRolThe basicso Quality Control 1/3 : The

Inspection Levels P.9

logIsTICsGetting AnswersP.11

PRoJECT mAnAgEmEnTLeanManuacturing - Turningthe Tide o China Sourcing

Cost Increases P.13

lEgAlTransnational TradeLegal Risk ControlP.18

FInAnCEChina Business Basics:Financing your companyP.21

TERms oF ThE TRAdEP. 24

TRAdEshow CAlEndARP.25

Tools oF ThE TRAdEiPhone AppsP.27

ChInEsE CITY InFoTianjinP.29

ThE lAsT PAgE90% DeliciousP.30

ONLINE pd EdItION

CHINASOURCINGINO.ORG

ISSUE tEN jUNE 2011

Getting Answers


2/32
http://www.globalsources.com/http://www.globalsources.com/http://www.globalsources.com/http://globalsources.com/


3/32

Las monh a business associae exlaine o me ha hey were hiring bu couln

n wha hey were looking or. He aske me i I coul reer anyone o hem wih

some sourcing exerience since everyone heyve rie o hire has urne hem

ownmos honesly saying some version o, I on see a uure in his inusry

so I on hink Ill work or you.

Wow. In a labor marke where Chinese college grauaes are very much unem-

loye or a leas uner-emloye, some young 20-somehings woul raher

remain wihou a ecen ob han sar working wih a comany ha hey hink

has a limie uure. No sure i ha ecision is a brillian orecas o he curren

change in sourcing or a us a soile aiue. Bu eiher way, i illusraes a very

salien oin: Sourcing us isn wha i use o be. (I coul also exose my age an

make a secon oin abou he youh in quesion, somehing like, Young whier-

snaers hese ays on know how o work! Why, when I was a ki)

Bu while sourcing is inee changing quickly, his magazine is chock ull o eole

an comanies wih anasic exerience in sourcing, roec managemen, logis-

ics, qualiy conrol, ec. an all o hem are in business an making money rimar-

ily in China. So is realiy as ire as kis assing u obs o remain unemloye make

i seem? orunaely no; bu i is ieren, more icul an more iverse.

toay wih he amazing avances in boh echnology an eucaion here are more

an more comanies coming o China irecly, an yes, oing well ooan here

are also more an more suliers leaving Easern China or he greener asures

o Cenral China or Souheas Asia. More buyers an ewer suliers srea ou

over more o China an Souh/Souheas Asia means ha sourcing is changing as

well. Sourcing roessionals have o be a ack-o-many raes (logisics, languages,

manuacuring, o name a ew) us o be able o n he same suliers ha beore

were all locae in Guangong rovince. I requires more on-he-groun manage-

men an more involvemen eeer ino your suly chain han may have been

require beore. An when you combine hese changes in sourcing wih a vision

o he Wes in ecline an China on he rise (boh nancially an oliically) is nohar o see why Chinese college gras are looking else where or ooruniies.

Is sourcing in China over? No by a long sho. Mosly because here sill isn he

nex China, an here robably never will be. Bu also because, exce or a ew

selec inusries China sill has he eees an mos eveloe suly chains. I

boass beer inrasrucure an a more eveloe roessional services inusry

han anyhing else in Souh or Souheas Asia.

Yes, is changing. Yes, eole are looking a oher oions. Bu or he nex ecae

a leas, China isn geing relace as he worksho or he worl. desie wha

unemloye 20-somehings hink.

Hay Huning.

davi A. dayon

Letter rom the EditorBy David A. Dayton, Silk Road International

Abou he Eiorouner o

Silk Roa Inernaional

davi dayon is he owner an manager o

SRI. davi has nearly weny years exerience

working in an wih Asia an he leas SRI

rom Shenzhen, China. Besies Shenzhen,

davi has live, worke an/or suie in

thailan, taiwan, an Chongqing, China.

davi is a regular resener or Global

Sources New Buyer training seminars

in Shanghai an in Hong Kong. He has

also soken or Global Sources Sulier

Eucaion rogram an he Meering

China Xian Sourcing Show. davi has

been ublishe in Euro Biz magazine,Righ Sigh Asia, Garen Inernaional an

oher rae ublicaions an on numerous

sies online incluing he China Economic

Review, he New Zealan governmens

inernaional rae inormaion websie

an China Success Sories. He has been

inerviewe by he BBC, CBS 60 Minutes,

he CBS Evening News, he Hong Kong trae

an develomen Council an by NpR on

china-relae issues. His blog osings have

been on he WSj China blog bes o liss.

davi has a Masers degree in SouheasAsian Culural Anhroology, ocusing on

Comaraive Chinese an thai Cororae

Culures an a BA in Inernaional Relaions

an Eas Asian Hisory. davi has worke

as a consulan, manager, rainer an

ranslaor on boh sies o he pacic an

he is uen in boh thai an Manarin.


4/32

Questions tothe Editoreel ree o ask any quesions via email

a [email protected]

or on our websie www.ChinaSourcingIno.org

Q: I am traveling to the Canton Fair in search o suppliers. How

can you tell who is a middleman and who is an actual actory?

A: Your quesion may be he mos aske quesion in Guangzhou ev-

ery Aril an Ocober. An i is very much worh asking!

I like o oer some commens or your consieraion in regars o

milemen. irs, here are goo an ba ones. the goo ones a

legi value, he ba ones cause roblems. to eermine who is legi,

he single mos owerul quesion you can ask is Can I seak o a

ew reerences? I hey can give you a hanul o legi cliens, run

away. Having an inermeiary is no always a ba hing, bu les as-

sume you wan o go acory irec or whaever reason, hen here

are some re ags ha you may be ealing wih a mileman:

Avoi acories ha reuse o lis he name or locaion o he rouc-

ion aciliy.

ocus on hose acories ha can clearly show roucion exerience

wih your aricular rouc or roucion meho. they shoul

have samles an qualiy ocumens reaily available i hey are a

real acory.

I you are able o arrange a acory visi:1. do your conacs business cars mach he acory sas inorma-

ion? I he cars on mach in name, color an aress, hen your

conac is robably a mileman.

2. do he eole a he acory clearly know your conac or oes he

give ou business cars o acory sa when giving you he our o

his acory? A wors case his may be his rs ime working wih he

acory an you may as well buil your own relaionshi wihou him.

Look or clear inormaion abou oeraion size, equimen an sa-

ing on he websie. Mos inermeiaries on oer he same level o

eail ha real acories resen.

Be wary i hey suly a very large range o roucs. I hey say heymake oohbrushes an tV ses, mos likely one or boh are ou-

source!

Be aware ha olishe English skills o no reec roucion skills.

Oen he mos olishe websies are se u by raing comanies.

Ask or ownershi aers o he acory. By law, he business license

shoul be hanging rom a wall in an easy o see locaion. Grane, i

is oen in Chinese, bu ge a coy (an make sure he coy you are

given maches he one on he wall) an laer you can ranslae he

Chinese o show valuable inormaion like ownershi, years in busi-

ness, scoe o business an so on.

Oher is:

Be exlici ha he roucion locaion may be auie by you or a

3r ary, an ha his locaion canno be change wihou aroval

rom he buyer. You will be surrise a he number o milemen

who will ake he buyer on a visi o a acory only o change he loca-

The China Sourcer Magazine

Magazine o he China Sourcing

normaion Cener (C.S.I.C.)

www.ChinaSourcingIno.org

Publisher

ditor-in-Chie

davi dayon

xecutive Editor

davi Bruns

Chairman o the Advisory Board

Mike Bellamy

Editorial

ditor

davi Bruns

Deputy Editor

derek paylor

Associate Editor

raham Salzer

Art Department

Creative Director

abriel jorby o 960os HK L.

Art Director

ae eng

Photographer

acy Liowiz

Marketing

Marketing Manager

ur Kirkho

Promotions Manager

derek paylor

Support Sta o

ChinaSourcingIno.org

and The China Sourcer

Magazine

Administrative Assistant

yia Li

egal Advisor

i Yan o Beiing junZejun Law irm

Content Editor

davi Bruns

ayout & Design

ur Kirkho

opyright: All conen ublishe in the

China Sourcer is owne by CSIC an may

o be rerouce in any rin or online

ublicaion wihou wrien consen rom

he CSIC Boar o Avisors.

Questions answered by Mike Bellamy, ofCSIC
mailto:questions%40chinasourcinginfo.org?subject=Questions%20to%20CSIChttp://www.chinasourcinginfo.org/http://www.chinasourcinginfo.org/http://www.chinasourcinginfo.org/http://www.chinasourcinginfo.org/mailto:questions%40chinasourcinginfo.org?subject=Questions%20to%20CSIC


5/32

ion o a less exensive an oor qualiy oion aer he buyer leaves.

Hoe your Canon rae show was a roable one!

pS: I like he HK rae shows, esecially hose sonsore by www.

GlobalSources.com, as hey on have as many raing coma-

nies like Canon air. Kee in min ha ecaes ago he Canon

air only allowe comanies wih imor-exor licenses o ex-

hibi an even oay no every manuacurer has an im-ex li-

cense. So i is naural ha Canon is rie wih raing comanies.

Q: In regards to engineering services (i.e., design, testing, analy-

sis, etc.), what are common pain points that should be addressed

(i.e., work or hire, ownership, IP)?

A: My rien paul is a duch engineer base in China, a www.Ven-

uretech.ne he oulines wo common ain oins in China ealing

wih Inellecual proery an design Bias. So as you ra your erms

an coniions, you may wan o kee he ollowing in min.

Unorunaely, leaving he engineering o he Chinese manuacurer is

no he bes oion or he ollowing reasons:

a) Inellecual proery Concerns! Non-disclosure/ Non-Comee

Agreemens are very har o monior an enorce wih Chinese com-

anies. Even i he sulier has ai or heir engineering, hey will eel

a sense o ownershi. tha is very angerous i you ecie o change

suliers or so roucion unilaerally. Some manuacures will even

leverage he engineering work one or your roec o lan oher cli-

ens who may be your comeiors.

b) Biase designs! the manuacurer will engineer he rouc as hey

see in a way ha benes hem, raher han you, he mos. tha

means engineering o Chinese sanars raher han inernaional

sanars. the engineering will also be ailore o he roucion

mehos o ha aricular acory, which may or may no be he esignha leverages he bes roucion eciencies an echnologies avail-

able in China a a naional level. urhermore, he engineering may

be ailore or he Minimum Orer Quaniy ha he acory esires,

raher han he exece orer size o he cusomer.

Hoe his warning hels some o he reaers avoi he roblems

I have run ino above when conracing engineering in China!

Answere by he sa oCSIC

Any other Q?

Feel free to ask by eail at ques-

[email protected] on our website
http://www.globalsources.com/http://www.globalsources.com/http://www.venturetech.net/http://www.venturetech.net/http://www.venturetech.net/http://www.venturetech.net/http://www.globalsources.com/http://www.globalsources.com/


6/32

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7/32

toays business moel or many global

manuacurers is airly sraigh orwar:

1. design he rouc; 2. Ousource

u o 85% o manuacuring o ruse

suliers; 3. Assemble he nal rouc

in house; 4. tes an qualiy assure he

nal rouc; an 5. Manage he overall

bran.

An examle may illusrae his: One well-

known comany ha will remain anony-

mous lans o sell is non-core acories

an ocus on is srenghs, secically

eveloing new roucs. I will only

reain highly rorieary rocesses. In

oher wors, i lans o ocus on wha i

oes bes. this makes business sense i

he rocesses are sable an also caa-

ble o meeing requiremens. Bu, wha

oes a comany o i rocesses become

unsable, such as- a sunami isrussuly chains.

this is now whas occurring hrough-

ou he worl. Sable an caable are

changing o volaile an uncerain. Risk

an ambiguiy are he new normal. jus

look a hese recen magazine healines:

Quake disrus Key Suly Chains

Sress tes or he Global Suly

Chain

Long pause or jaanese Inusry

Raises Concerns Abou Suly Chain

jaan Quake Likely o Aec Busi-

ness Globally

As you can see rom he above sories,

we believe ha sulier sourcing will

evolve ino 1. Risk base suly rob-

lem-solving an 2. Risk base suly

ecision-making.

the new normal has also change some

o he sourcing rules. Wha oes his

mean? Sulier risk is he ossibiliy

ha uncerainy or an even will occur

ha will aversely aec or isru he

suly chain. So, he soluion is sulier

risk managemen, which imlies reuc-

ing suly chain vulnerabiliies. An i

an even or uncerainy occurs, here is a

coningency lan in lace o ensure busi-

ness coninuiy.

Wha oes his mean or all o us? thismeans revisiing an re-evaluaing many

o our convenional wisoms o suly

managemen. Well iscuss a ew:

From Just in Time to Just in Case. the

horric jaanese earhquake an su-

nami isrue suly chain. In oays

lean suly chain, here are no or ew

buer invenories so ha any isruion

kills he suly chain. the soluion is

wha we call us in case managemenor suly risk managemen. jus in case

suly managemen means ha every

criical link in he suly chain is evalu-

ae or risk an he nee or buers an

oenial miigaions.

From single source to multiple sourc-

es. Weve been avocaing single source

arnering wih suliers or more han

20 years. this makes a lo o sense an

as value o all aries in erms o know-

ing each ohers requiremens an re-solving qualiy, cos, or elivery isues.

the challenge is ha i heres a isru-

ion, all eggs are in one baske. Again,

here is no iversicaion o sulier risk.

the soluion may be having single su-

lier or secic yes o roucs; or

highly criical iems, have a rime su-

lier an an acceable alernae.

From Cost (price) to risk based sup-

plier selection. price or oal cos oownershi is an has been he criical

aribue or selecing suliers along

wih echnology, elivery, service, an

qualiy. Base on he selecion crieria,

sraegic business ecisions were mae

incluing make or buy, omesic or

oshore sourcing, an risk olerance.

the criical river or oshore sourcing

was oen cos or rice. Now, he weak

ollar, increasing oshoring coss, an

risks o suly chain isruions are

making all comanies re-evaluae sourc-

ing ecisions. Our recommenaion o

many comanies is now o inegrae risk

in sourcing ecisions. this means askingsimle quesions like wha i a sulier

can eliver.

From quality audits to risk audits.

Sulier qualiy auis are usually ISO

9000 base. these are seay sae

(wha is) auis auiing agains ISO 9000

requiremens or a han ull o checkliss.

We now recommen o our cliens ha

hey ake a risk base aroach o su-

lier auiing. the auis look a wha ian ossible coningencies. they look a

whie sace gas an risks in he suly

chain an he bes remeiaion.

So, wha oes his mean o you? I believe

ha were living in a worl o accelera-

ing volailiy, uncerainy, comlexiy,

an ambiguiy. Many o our cherishe

assumions are changing. We nee o

revisi our convenional business wis-

oms an evaluae our suly ecisions

hrough he rism o risk managemen.

Abou he Auhor

Greg Hutchins

Chie engineer a

Qualiy+Engineering

Greg Huchins is he rincial engineer wih

Qualiy+Engineering. He can be reache a

[email protected].

StrategicourcingGLOBAL SOURCING RULES: THEY ARE ACHANGINGBy Greg Hutchins, CSIC Colunist.
mailto:Greg%20Hutchins?subject=GregH%40QualityPlusEngineering.commailto:Greg%20Hutchins?subject=GregH%40QualityPlusEngineering.commailto:Greg%20Hutchins?subject=GregH%40QualityPlusEngineering.com


8/32

On he English blogs in China, here

are many sourcing exers wriing ar-

icles iscussing he mehos hey use

on how o screen Chinese suliers.

However, I hink i is also imoran o

unersan he ersecive o he Chi-

nese Sulier(s) on how hey evaluae

an isinguish buyers. As buyers, we

can bene rom unersaning wha i

akes o evelo an mainain a leasanrelaionshi wih Chinese suliers.

Be pite, be prfeia

Las monh, a US buyer conace me

hrough Alibaba. He sai he was big

imorer in US an ha he was very in-

erese in buying roucs rom a ac-

ory ha I ha worke wih an invie

us (mysel an he acory) o mee himin Shanghai uring he domoex 2011

erio. I ha noice ha in he email

exchanges he ha never aresse my

name or ile. While his mae me a bi

uncomorable, I chose o view i as a i-

erence in business syle.

the general manager o he acory an

I rove 4 hours o Shanghai, carrying a

heavy caron lle wih samles o show

he clien. He aske us o go o his hoelroom. When he oor oene, I noe

ha he clien ignore he inroucion

o mysel an my general manager, in-

sea us simly saying, Come on in,

(non chalanly) so we wen in. He in

ask us o si insea we oun a sea or

ourselves. Ignoring my small alk such

as How was he ourney?, or How long

i your igh ake? he us simly aske

o see he samle(s). ive minues laer,

he signale we shoul leave inicaing

ha anoher sulier was coming or an

aoinmen o show o heir samles.

Neeless o say, his siuaion a he hoel

mae he manager an I eel unimor-

an an use. While Im sure here are

ierences in our culures, conucing

business base on muual resec is ben-

ecial o boh he sulier an he buyer.

While i may have been a normal busi-

ness racice or his buyer o shufe as

many suliers in an ou o his hoel as

ossible, i was icul or me o exlainhis siuaion o he general manager.

write yr iqiry etter prpery

Chinese suliers, (esecially qualiy

ones), ge somewhere beween 20 o 40

email inquiries every ay, so your email

inquiry can easily be los or caegorize

as unimoran i you in wrie he

email roerly.

So wha emails more likely o be NOt

aken seriously:

1. Using a ublic email aress such

as yahoo, aol, Gmail ec. can be viewe

no only as a bi unroessional, bu also

(more imoranly o you) bu more like-

ly o be seen as a small buyer wih less

money o sen. purchasing a businessemail accoun is no oo exensive an

can make you be viewe as a bigger sh

2. Aress he name an/or ile o your

Chinese counerars. those who wan-

e o be reae wih resec shoul

give resec. this is a common business

racice anywhere

3. Use a roer email signaure a

he en o he email wih your name,ile, comany name, aress, elehone

number, email aress an comany

websie. to be hones, when we ge

an email inquiry wihou a roer sig-

naure, we won ake i very seriously.

Some suliers may even hink ha

emails wihou a signaure migh be

coming rom a comeior, rying o ge

rae secres such as ricing. do you use

lease, hank you in he email? I have

one clien who never use lease, make

me eel like he is rying o orer me o o

his or ha, very uncomorable.

ImpROvING BUYER/SELLER RELATIONSHIpS pART 1By Stehen Chow, CSIC Colunist.

Abou he Auhor

Stephen Chow

Owner oChinawhy

Seven Chow has more han 10 years

exerience working in acories, raing

comanies an sourcing comanies. He

is he owner o Chinawhy, which oerssourcing, sulier vericaion an QC

service o overseas small an meium size

buyers.

SourcingDos & Donts

with Stephen Chow
http://www.domotexasiachinafloor.com/http://www.chinawhy.net/http://www.chinawhy.net/http://www.chinawhy.net/company.asphttp://www.chinawhy.net/QualityInspection.asphttp://www.chinawhy.net/QualityInspection.asphttp://www.chinawhy.net/company.asphttp://www.chinawhy.net/http://www.chinawhy.net/http://www.domotexasiachinafloor.com/


9/32

Quality Control logistiCs ProjeCt management legal FinanCe

QUALITY

CONTROL

In he ollowing hree aricles, we will

rovie you he basics o he Qual-

iy Conrol insecions. perhas you

someimes le your suliers shi

your goos wihou insecing. per-

has you are using a hir-ary com-

any o conrol your orers, erhas

you even have your own eam. Are

you aking unnecessary risks? Are you

aying a way oo much? the only wayor you o make your oinion abou

hose quesions is o be amiliar wih

he basics o he qualiy conrol.

The applicablestandardsthe Miliary Sanar 105 was crea-

e by he US dearmen o deense

o more ecienly conrol heir ro-

curemen rocess. the ANSI, ISO, anoher relae insiues also have heir

own sanars, bu unamenally

hey are similar. Almos all hir-ary

QC rms use he same sanars an

he same saisical ables, also known

as he AQL tables or Acceable Qual-

iy Level.

Why use a random

sampling?Shimens usually involve housans

o roucs. Checking 100% o he

quaniy o hese iems woul be long

an obviously exensive. the solu-

ion is o ranomly selec samles or

insecion. Bu how many samles

have o be selece?

I he insecor is only checking a ew

ieces, i migh no be reresena-

ive enough or him o noice any

qualiy issues, bu a he same imehe obecive is o kee he insec-

ion shor by reucing he number

o samles o check. the sanars

(AQL tables) roose a sanar level

o insecion, calle level II, ,which

was esigne o balance ime an

quaniy airly. Level II is use or more

han 90% o insecions. or examle,

or an orer o 5,000 roucs, 200

samles woul be checke.

Why and when toswitch inspection lev-els?I you know ha a acory is eliver-

ing goos wih a subsanar qualiy,

you know ha he risk o non-qualiy

is also higher an he insecion mus

more horough. In his case, you can

make he insecion crieria sricer

by choosing he Level III in orer o

insec more samles.

Conversely, i your sulier has con-

sanly elivere acceable roucs,

The basics o Quality Control 1/3 :

The Inspection Levels

souRCIng susTAInABIlITY

By Tanguy Boulanger - Customer Service Manager orAsia Quality Focus

you can ecie o swich o he Level

I. As he samling size is reuce, he

insecion may ake less ime as well

an hus be cheaer. Swiching levels

is bi more comlicae an requires

more guielines, an mos imorers

rely on heir eeling. However, I you

wan o sricly resec hese guie-

lines, ask your QC manager or your

exernal insecion rovier wha

hey recommen.

What are speciallevels?On sie, QC Insecors oen have o

erorm secial ess on roucs. In

some cases, he ess can only be er-

orme on ew samles, why?

- I migh ake a long ime

- I migh lea o he esrucion o

he rouc.

Abou he Auhor

Tanguy Boulanger

Cusomer Service Manager

or Asia Qualiy ocus

tanguy is he Cusomer Service Manager

or Asia Qualiy ocus. tanguy hanles

clien queries along wih assising in

insecions an auis or AQ. Base inShenzhen, tanguy seaks rench, English,

Sanish an Chinese
http://www.asiaqualityfocus.com/http://www.asiaqualityfocus.com/


10/32

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Client Testimonials"These guys worked miracles."

"Factories as good or better than anything I've seen

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"This is our first good experience sourcing

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is committed to developing quality products and professional

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side, it is just like having your own Branch Office in Asia.

SRI Services and Pricing

Silk Road International offers a wide variety of services to meet your

purchasing needs overseas. With over 15 years of experience doing

business in China and Thailand, we have developed long-term

relationships with numerous manufacturers. These relationships are

the key to ensuring we meet and exceed the expectations of global

customers in terms of desired level of quality, extremely competitive

pricing, and on-time delivery!

Primary services are as follows: Product Management, Factory

Sourcing, and Asia Business Services. Click on the diagram below for

more information.

move your mouse over Project Management, Factory Sourcing, or Additional Services for more information

Contact Us

For more information on what SRI can do for you, to arrange a factory tour, or for bids on current or future products, please

contact us at 801.542.9458 or email us at [email protected]. We'd love to hear from you! For more contact information,

including overseas offices, click here.

Learn More...

Online Project QuestionnaireInterested in having SRI help manage your overseasmanufacturing? Submit a project questionnaire to receivea detailed bid and more information on your project.

SRI BlogStay up to date with the current Chinesebusiness climate and what it means foryour manufacturing.

Project ShowroomView our gallery of products that SRI has sourced for otherclients.

About Business in Asia Read the latest article in our series onmanufacturing and doing business inAsia: "Qualifying Your Overseas Supplier."

The SRI AdvantageExpand your network, improve communication, and savemoney. Learn more about the advantages using SRI bringsto your business.

The SRI Process Learn about the three primary steps in taking your productfrom design to market: development, production, anddelivery.

Ten Best China Business Blogs: www.silkroadintl.net/blog
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11/32


LOGISTICS

or many weserners oing business in China, one

o he mos rusraing eelings is he sense ha no

maer how many imes you ask, youre no geing

a sraigh answer. Someimes he answers you ge

bring more conusion han clariy. We recenly eal

wih us such a siuaion or a clien.

Our cliens reigh orwarer in his home counry

conace us o gure ou why his cusomers gooswere ha been hel in China cusoms or he las 8

monhs. Wih 10K USd alreay ai (cusomers own

money) o ay a ne an secure he release o he

goos rom cusoms, i sill was no clear wha cause

his siuaion an how i coul o been revene.

Our cusomers rouc is one ha can be consiere

boh as a angerous an non-angerous goo, e-

ening on how hey are classie an assemble.

Shiing hese aricular goos requires he sulier

o have a cerain cericaion in orer o be loae.

these ocumens inclue non-angerous goos an

angerous goos cericaes. I is an unorunaesory o miscommunicaion, grey area shiing rac-

ices an lack o resonsibiliy. In aiion o ake an

misreresenaive ocumens rom a sulier, here

are hree Chinese orwaring comanies o a o he

conusion. We will call hem orwarer #1, #2, an #3.

I all sare when COSCO, a orune 500 comany

an Chinese Sae Owne Enerrise (SOE), receive

a booking rom orwarer #3 as urniure. A week

laer as he conainer o urniure reache he or

i was accomanie by a MSdS (Maerial Saey daa

Shee) or our cliens acual rouc, oenially an-

gerous goos. Raising only mil susicion, as bohare non-angerous goos, a CE or non-angerous

goos was requese. orwarer #3 sen hree ses

o CE ocumens or non-angerous goos, which all

urne ou o be ake or no longer relevan an were

reece by COSCO.

Uon urher invesigaion, COSCO oun ha here

was an aiional similar rouc in he conainer,

which he orwarer #3 mislabele on he B/L (Bill o

Laing). COSCO hen classie he goos as anger-

ous goos an avise orwarer #3 o noiy he cus-

omer ha he shiing ee woul ouble ue o his

classicaion. Once his ee increase was agree, he

shimen woul have been allowe o coninue on is

merry way. orwarer #3 aile o noiy orwarer #2,which in urn never noie orwarer #1, who was he

original orwarer hire by our cliens local orwarer

o eal wih he logisics on he China en o hings.

Since COSCO receive an unacceable CE rom or-

warer #3, he siuaion was reore o he hea o-

ce in Shanghai, which hen hel he shimen an he

local cusoms earmen imose an aiional ne.

COSCO reuse o move he goos unil he ne was

eal wih.

or he nex six monhs, email chains enying reson-

sibiliy an assing blame o ohers was abou all hawas accomlishe. Meanwhile he goos sa. All hree

orwarers claime i was no heir aul an he su-

lier ha classie he goos incorrecly. the cusomer

conene ha he orwarer #1, he comany iniially

hire, was resonsible or veriying such issues an he

sulier claime he ol sanby his is how hings are

always one even hough he conainer ha several

ieren yes o roucs. All hree orwarers an

he sulier gave a variey o excuses o why i was no

heir aul. As hese emails rouce zero resuls, our

cusomer ai he ne hemselves o ge he goos

moving.

When our cusomers local orwarer conace us, i

was clear o him ha no answers woul be oun i

we were no able o ge all he aries ogeher an

iscuss. We were able o arrange a meeing wih re-

resenaives rom all o he reigh orwarers an

Getting AnswerslogIsTICs

By Matt Kowalak , Southern Perspective SZ

Find the answers you need to satisy your logistics.
http://www.southernperspectivesz.com/http://www.southernperspectivesz.com/http://www.southernperspectivesz.com/


12/32


To sum up:

All o hese orwarers were so

righene o being blame or whaha haene, hey us close heir

eyes hoing he roblem woul go

away.

Make sure ha you o no rea lo-

gisics as simly aying a cashier.

Buil a relaionshi wih a reigh

orwarer an kee in communica-

ion wih hem.

the cheaes orwarer is likely

o be someone who will arcel your

orer ou o someone else as soon asossible.

When working wih echnical iems

ha may be subec o mulile clas-

sicaions, i is bes o veriy all he

cericaes an ocumens beore

lacing any orers. As seen above,

he sulier claime ha i ha always

shie his way, bu his oes no

mean i was legal.

Emails rarely solve comlex issues;

siing own ace o ace wih a mi-level manager will ALWAYS rouce a

quicker an more saisacory resul.

Abou he Auhor

Matt Kowalak

Souhern persecive SZ

Ma Kowalak has worke in manuacuring

relae osiions in Shenzhen or he las

6 years. He suie Chinese a Shenzhen

Universiy an is currenly an LLM suen

a the Chinese Universiy o Hong Kong.

Ma an his eam a Souhern persecive

SZ are ocuse on saying on he cuing

ege o Chinese Business Law. they hel

heir cliens o unersan oenial

roblems ha may arise in he course o

oing business in China. Wheher youremanuacuring, sourcing rom exising

suliers, or looking o sell ino he Chinese

marke, Souhern persecive SZ can

hel. or urher business quesions or

consuling, Ma can be reache a ma@

souhernersecivesz.com or hrough

www.souhernersecivesz.com

COSCO.

In he meeing, COSCO she he

mos ligh o he siuaion. COSCO

reveale ha sulier ha been black

lise rom COSCO shiing as heyhave misclassie heir roucs re-

eaely. COSCO also showe ha

orwarer #3 simly ignore heir

reques abou shiing he goos as

angerous goos, mos likely because

hey hough hey woul be blame

an hel liable or he ne. When

orwarer #1 was resse by our cli-

ens orwarer o n ou answers,

hey claime i was he suliers aul

or he misclassicaion. the sulier

reurne in kin wih he claiming

ha he orwarers misclassicaion

o urniure is where he roblem

began.

We were mos surrise a how many

reigh orwarers were involve on

he Chinese sie. orwarer #1 has a

coninuous relaionshi wih our cli-

ens local reigh orwarer an was

originally hire o aciliae he shi-

men leaving China. orwarer #1

hire he less exensive orwarer #2

o hanle he aerwork an managehe roec. orwarer #2 hire or-

warer #3, a co-loaer ha basically

brokers sace on shis on COSCOs

vessels, o ake ossession o he

goos.

Basically, i ene u as an inerna-

ional game o elehone, when he

irecive was hane own rom

COSCO, he message go suck going

back o he original cusomer who

woul have glaly ai he exra shi-

ing ee o no have his rouc si-ing on a ock or 8 monhs. Because

hese reigh orwarers are a ime a

ozen in China an are each us ak-

ing a small slice o he ro ie, he

iea o resonsibiliy o he cusomer

became nonexisen.

the China Sourcing Inor-

maion Cener is a buyers

suor nework. As such,

he CSIC is seeking new

wriers or our ublicaion.

Hel suor our growing

nework o buyers hel-

ing buyers by sharing your

exeriences (successul orno) wih our reaershi.

to learn more abou wri-

ing or he China Sourcing

Inormaion Cener an is

online magazine he China

Sourcer lease e-mail

[email protected].
mailto:matt%40southernperspectivesz.com?subject=Matt%20Kowalakmailto:matt%40southernperspectivesz.com?subject=Matt%20Kowalakhttp://www.southernperspectivesz.com/mailto:exd%40chinasourcinginfo.org?subject=Contact%20usmailto:exd%40chinasourcinginfo.org?subject=Contact%20ushttp://www.southernperspectivesz.com/mailto:matt%40southernperspectivesz.com?subject=Matt%20Kowalakmailto:matt%40southernperspectivesz.com?subject=Matt%20Kowalak


13/32


PROJEC

TMAN

AGEM

ENT

I has almos been a sourcing cerainy over he as 10

years ha, whaever i is, you can make i cheaer in

China. While here have been exceions an roblems

(Inellecual proery proecion, Qualiy ec.), overall he

as ecae has seen a huge ranser o he worls ro-

ucion in o China.

However, i you have been waching closely over he as

wo years hings have change. the nex wo ecaes

looks like he ones where we will see a change in Chinas

osiion rom he low cos acory o he worl o a e-

veloe counry an maor marke in is own righ. this

rocess is no new, we have seen i on a smaller scale in

jaan, Souh Korea an taiwan. However his change has

rooun imlicaions or buyers across he worl.

Base on our managemen o buying roecs in China,

tXM has one some analysis o a yical engineere

rouc source in China. We assume ha he ex-workscos o he China rouc was 40% below he cos o he

wesern-source rouc. Beyon he ex-works uni cos

o he iem he buyer nees o consier below he line

coss incluing:

Shiing cos.

Working caial coss incluing ineres an risk o ob-

solescence.

Invenory sorage an hanling coss

the cos o oor qualiy Sulier suor coss (he China urchasing oce,

ravel ec.)

Lean Manuacturing - Turning the Tideo China Sourcing Cost Increases

PRoJECT mAnAgmEnT

By Tim McLean, Founder and Managing Director oTXM

Efciency leads to better sustainability.

In our analysis we assume ha he qualiy or local an

Chinese suly sources were he same, however he cos

o qualiy or China is greaer ue o he greaer amoun o

invenory likely o be aece by any qualiy roblem. the

able below shows he break u o coss in his heoreical

rouc.

or his rouc, he ecision o source in China sill seemsvinicae, because even on a oal cos basis, he Chinese

rouc is sill aroun 20% cheaer.

We hen researche likely cos rens over he nex wo

years an reice he likely uure coss o his iem.

Much o he inormaion abou Chinese cos increases is

well known. We mae he ollowing assumions:

Chinese general inaion rae o 4% (currenly 5%)

Wesern inaion rae o 2% (currenly 0-2%)

Chinese annual wage increases 10% (currenly 20%+) Chinese currency o areciae 5% er year agains all

wesern currencies.
http://www.txm.com.au/http://www.txm.com.au/


14/32


the imac o hese relaively conservaive changes is sar-

ling as he grah below shows.

Wih 5 years our cos avanage in China has isaeare an

he oal cos o sourcing rom China is acually HIGHER han

he Wesern source rouc. Consiering ha he acual cur-

ren rae o cos increase is higher han he assumions I have

use, hen he risks acing any buyer wih a heavy invesmen

in China are obvious an consierable.

the rs reacion o many buyers is o look beyon China, o

Souh Eas Asia or Inia. However he challenges an risks

in hese oher economies are consierable, incluing oor

inrasrucure, raman corruion (worse han China), bu-

reaucracy, unavourable labour laws an oliical insabiliy

(esecially in thailan). there is also he issue o he one o

cos o changing, which can be consierable, aricularly i

manuacuring lans or asses in China are owne by he

buyer. inally relocaion ou o China righ now risks yourbusiness ealing isel ou o wha will be he larges marke

in he 21s Cenury, China.

So he answer is o ry an reuce coss in China. orunaely,

as many o our cusomers have ol us, he ooruniy o o

his is obvious rom he momen hey se in o heir Chinese

Suliers acory.

Primitive and Inecient Factory Conditions such as these are

Common Across China and provide a huge improvement oppor-

tunity.As he hoograh above shows, he ocus in China over he

as 10 years has been on growh, no eciency. As a resul

many (bu cerainly no all) Chinese acories are highly ine-

cien, wih oor usage o labour, high levels o maerial wase,

high levels o inernal eecs (he qualiy you receive oen

relies on 100% insecion), long lea imes an high levels o

invenory an obsolescence.

In aiion, oorly esigne suly chains o he wes wih

ramaic eman ucuaion, variable orering aerns anquaniies an requen exeiing mean ha he Wesern

buyer oen conribues urher o he roblem an, evenu-

ally, o heir own urchase cos.

orunaely he soluion o hese roblems is well esab-

lishe, rie an ese. When toyoa realise in he 1970s

an 1980s ha is amous jus in time sysem o roucion

coul no uncion correcly wih he oor levels o service

an qualiy ha suliers were roviing, i sen eams o

secialiss o hese suliers o each hem he toyoa pro-

ucion Sysem. the srea o he toyoa proucion Sysem

(or Lean Manuacuring as i is commonly known) across all

secors o manuacuring in he as 30 years has been one ohe maor rivers o rouciviy imrovemen in eveloe-

worl manuacuring. Low labour coss have mean ha here

has been lile ocus on rolling hese roven mehos ou in

China an oher low cos economies. tXM is now working

wih maor comanies in China o change his an o bring

Chinese manuacuring hinking in o he 21s Cenury.

Get Your House in Order First

the rs se o reucing cos or your China source rouc

is o look a he hings your business may o o increase hosecoss. Sar by looking a your own orering an orecasing

rocess so ha your eman on your sulier can be as sable

an reicable as ossible.

develo a regular orering cycle. this shoul be as requen

as ossible. We n ha a weekly orer cycle works very well.

Orer on a regular ay o mee a regular shimen ou o he

Chinese or. By builing your suly chain aroun hese

shiing scheules you minimise unnecessary or an shi-

ing elays.

Aly an every ar every orer aroach o your highes

volume Iems (A iems). illing u a conainer wih one arnumber is an increibly risky aroach as he loss or elay

o his conainer will leas o a cerain sock ou. By ensuring

ha every common ar number is inclue in every (weekly)

shimen hen he risk o shorages are minimise since

eliveries are only a week aar. this aroach also means

ha invenory a your en can be ramaically reuce be-

cause you are only looking o cover weekly eman variaion

raher han monhly. We have hele suliers esablish ull

sysems so ha weekly usage ou o he warehouse in he

esinaion rives relenishmen orers on he Chinese su-

lier he ollowing week eliminaing he issue wih inaccurae

shor orecasing (since you are relenishing o acual usage).

inally you nee o rovie suliers wih he bes orecass

ha you can. On a recen roec we oun ha a maor buyer

was rouinely over-orecasing by beween 50% an 300%.

this aroach ineviably leas o he suliers resources

being ie u making sock you on nee (o mee he


15/32


oversae orecas) raher han he sock you nee. ocus on

giving he sulier a goo monhly orecas o enable him o

lan his caaciy, long lea-ime maerials an resources o

mee your eman.

rom he suliers ersecive wha his change will mean is

ha he is now receiving regular orers every week or a regu-

lar mix o roucs. He will have clear execaions as o when

he receives an orer, when he has o shi an will be working

o a lea ime ha he can achieve. He will also have an ac-

curae view o he meium erm oulook so ha he can lan

o make sure ha he has sucien caaciy an maerial o

mee seasonal eman eaks an romoions. In shor, you

have mae his lie easier an more reicable an yically

ha will lea o an immeiae cos saving in invenory an

exeiing.

Value Stream Map or Supply o Sheetmetal Components rom

China to Australia or a TXM Customer.

the gure above shows a suly chain ha we esablishe or

an Ausralian high echnology manuacurer. In his case we

negoiae ha he Chinese sulier woul own he inveno-

ry unil i was elivere o he oor o he lan in Melbourne.

We also use a single hir ary logisics rovier o man-

age he suly chain rom he suliers oor o he acory

in Melbourne. this suly chain has oerae or almos our

years wih minimal issues an a six week lea ime rom orer

o elivery. Invenory in he suly chain is limie o aroun

our weeks in sore lus a urher 3 weeks in ransi.

Next Step Improve the Suppliers Fac-

tory.

Saring ou by lisening o your sulier an assising him

wih a more reicable an sraighorwar suly chain will

hoeully make he nex, somewha more conronaional

se easier. Saring a conversaion abou he nee or a su-

lier o imrove eciency is always going o be challenging,

aricularly in China where mainaining ace is an imoran

issue. I is bes o resen i osiively as an ooruniy or ashare roblem (o cos increases) raher han irecly elling

he sulier ha his acory is inecien

In erms o resources, various aroaches are use. Some very

large comanies have heir own in-house sulier imrove-

men secialiss, however mos will rely on exernal lean

secialiss such as tXM. Many lean consulans in China are

acually us rainers who run sanarise lean workshos. In

our exerience his aroach leas o lile or no susainable

imrovemen. the tXM aroach ocuses on coaching where

our consulan works alongsie he clien o evelo an im-

lemen imrovemens. Mos buyers will wan he sulier o

ay ully or he lean suor. I is imoran o remember in

his moel ha he consulan will hen have an obligaion o

conenialiy owars he sulier, an he sulier woul

be usie in execing o hol on o any cos savings raher

han ass hem hrough o he buyer. the toyoa moel is o

rovie he assisance ree o charge, bu o exec ha 100%

o any savings mae will be asse back o toyoa (he su-

lier can hen bene i he savings ranslae o oher cusom-

ers). We hink ha a mile groun o sharing he cos may be

benecial where benes are share an here is a ree ow oinormaion beween he aries. Neeless o say, given he

oor sae o many acories, he ayback erio on an inves-

men rocess imrovemen is usually measure in weeks.

the sar oin o any imrovemen eor a your sulier will

usually be a value sream ma. this is a ma o he en o

en rocess o manuacuring your rouc incluing boh

he ow o rouc rom raw maerials o he shiing ock.

this rocess ma iniially highlighs he key areas o wase

in your suliers rocess. the nex se is hen o evelo a

uure sae ma in orer o ieniy an quaniy he level o

imrovemen ha can be achieve an he key ses neee

o achieve his. In our exerience, evelomen o he uuresae ma in orer o ge maximum value is a comlex rocess

an one where he skills o a highly exerience lean coach is

essenial. the tXM aroach will hen be o suor he su-

lier over an exene erio (usually 6-9 monhs) while hey

imlemen he uure sae or heir business. this will involve

racical coaching on some o he lean ools neee o reuce

wase an imrove ow such as kanban sysems or maerials,

imrovemen o lan layou an esign an imlemenaion

o work cells or key roucs an subassemblies. In arallel o

his we will coach he sulier o u in he ounaions o a

susainable lean roucion sysem. this inclues:

Imroving worklace organisaion an housekeeing us-

ing a echnique calle 5S,

Esablishing sho oor an lan level merics o rack he

imrovemen rocess,

Imlemening simle roblem solving echniques o over-

come ay o ay issues in qualiy, machine erormance or

maerial suly.

Coaching ron line roucion leaers in basic echniques

o manage heir eams in he new rocesses.

While some comanies will eel comorable using a wesern

consulan or in-house secialis o o his work, we believe

ha or cos an culural reasons i is beer i he maoriy,

i no all o he suor is rovie by local Chinese consul-


16/32


ans, such as hose emloye by tXM, working in heir own

language.

TXM Senior Consultant Tim Zhang (right) coaching a major elec-tronics industry supplier in running daily shop oor process im-

provement meetings.

What are the Benets?

Imlemene he righ way, wih coaching suor, he lean

aroach can have secacular benes. Working wih suli-

ers o he elecronics, auomoive an high echnology inus-

ries in Ausralia, Malaysia an China, tXM has seen susainable

imrovemens incluing:

Lea ime reucions o over 50%,

Suly chain invenory reucions o 50%

prouciviy increases o 15%-30%

Caaciy increases o 30%

Reucion in inernal eecs o 75%

Reuce sulier suor coss

the resul o hese imrovemens is o i he comeiive bal-

ance back in avour o he China sulier, enabling us o buil

our oeraions in China as a gaeway in o he mos exciing

marke in he worl as well as a comeiive sulier o ro-ucs o our home markes.

Comparison o orecast total cost o supply in 2020

About TXM: TXM is a leading Australian-owned Asia Pacic

manuacturing consulting company with oces in Mel-

bourne and Shanghai. TXM can help you take action on the

operational issues acing your business using proven Lean

Enterprise techniques and by managing major change proj-

ects. At TXM we are passionate about manuacturing. Ourteam are experienced and successul manuacturing proes-

sionals frst, consultants second. We understand what is like

to try to grow returns in an environment o erocious global

competition, because we have all experienced it frst hand.

This means we have a practical and realistic approach. We

will bring to your business considerable manuacturing ex-

perience rom a wide range o industries as well as deep un-

derstanding o lean enterprise. You can fnd out more about

TXM, including case studies at our website, www.txm.com.au

or contact us [email protected].

Abou he Auhor

Tim McLean

Business develomen

ouner an Managing

direcor otXM

tim McLean is he ouner an Managing

direcor otXM. tim has a 20+ year

exerience in manuacuring, rs learne

Lean an Six Sigma rinciles as process

Imrovemen Engineer in he lae 1980s.

tim wen on o manage oeraions ina range o inusries as an Oeraions

Manager an General Manager beore

esablishing tXM in 2004.

The China Sourcing Inormation

Center (CSIC) is a publisher, not

a producer, o content. The views

and opinions o the writers are

their own. The CSIC is not respon-sible or any views expressed by

our writers.
http://www.txm.com.au/mailto:%[email protected]://www.txm.com.au/http://www.txm.com.au/http://www.txm.com.au/http://www.txm.com.au/http://www.txm.com.au/mailto:%[email protected]://www.txm.com.au/


17/32

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18/32


LEGAL

Transnational Trade Legal Risk Control

TRAnsPoRTATIon oF goods

By Phoebe Yanxia Zhou, International Business Lawyer orYingke Law Firm

Wih ransnaional rae becoming

more an more requen, aries en

o conclue conracs less requenly.

Wrien ocumens are eiher base

on long-erm cooeraion an rac-ice beween he aries, or email

corresonence beween he aries.

Wihou a ormal an comlee wri-

en conrac, his brings abou a lo

o roblems an uncerainy when i

comes o seling isues regaring

erormance. In orer o guaranee

he righs an obligaions o he ar-

ies in ransnaional rae, i is neces-

sary o carry ou a eaile analysis.

Price

the price erm shall seciy wheher

i inclues goos VAt or sales ax (i

any), an aries shoul sill clearly

seciy which ary shall bear reigh

an insurance coss o avoi any risk

o changes cause uring he rans-

oraion o goos such as a change o

orwarer an/or shiing comany,

amenmen o a bill o laing (B/L),

loss o goos, or any oher even, even

i here is a erm secie in he con-rac alreay.

Goods Transport Entrust

and Sub-entrust

Beore he shier/seller sens goos

o he warehouse esignae by heorwarer he shier/seller will sen

a shiing orer o he nominae or-

warer. In racice, he shiing orer

is a simlie escriion o shimen

eails, when i ails o lis exacly wha

righs are enruse o he orwarer,

some orwarers may give eeback

by email or oher wrien orm by

seciying eails o he enrus, such

as inlan ransoraion, booking,

commercial insecions, cusoms, bu

exclues obligaions aer he goos

are elivere o he shiing com-any/carrier.

However, meium an small-size or-

warers canno ge bookings rom he

name shiing comany by consign-

ee/buyer, he orwarer aile o have

conrac wih he shiing comany.

the orwarer will sub-conrac oher

qualie orwarers (maybe an agen

o he shiing comany) a heir own

iscreion. paries shoul unersan

inusry racice(s), an clearly seciy

ha he risks shall be borne by heirec elegae orwarer, o avoi

reigh loss leaing o enless liiga-

ion.

In aiion, he rs carrier may eliver

goos o anoher shier along he

way. Buyer an seller shall race he

shiing roue u o where he con-

signee acces he goos. However,some enerrises who have no ob-

aine a bill o laing have los conrol

o goos no receiving any aymens.

due o a breakown in communica-

ion wih buyers/orwarers, are un-

able o know he goos ow irecion.

Some oher are even worse, bringing

an acion/claim lawsui agains he

orwarer aer many years, which

increases he rae risks, an is an

unavorable way o seeking amages

ha shoul have been claime in ue

course.

Particulars o B/L

Accoring o he OB rae erms, he

buyer is in charge o he ransoraion

o he goos; he buyer esignaes a

orwarer an nominaes a shiing

comany simulaneously. the seller

hereore sens a shiing orer o he

name orwarer accoring he buy-

ers shiing insrucion. In his case,bear in min, he seller shall receive

he B/L rom he shiing comany

insea o he orwarer, one shoul

Efciency leads to better sustainability.
http://www.yingkelawyer.com/http://www.yingkelawyer.com/


19/32


be aware o his because here migh

be a reusal o aymen risk when he

ocumens on comleely comly

wih he L/C.

In he aoremenione case, he B/L

shows reigh collece (CC). Some-

imes, he esignae orwarer wans

o have reigh beore isaching he

B/L o he shier, he shier will

ask consignee o ay i irecly o he

orwarer, i oesn mean here is

any conracual relaionshi beween

orwarer an consignee. Some shi-

ers on unersan ha when he

orwarer ges he reigh, hey ask he

shiing comany o sign he original

B/L which shows reai reigh (pp).

In his case, a ossible risk migh arise

or he shier, when he orwarer

reuses o ay he shiing comany,

or in he case o nancial iculy, he

shiing comany is oblige o claim

reigh irecly rom he shier ac-

coring o he ariculars o B/L which

shows reai reigh.

Delivery

In he even ha he Buyer ails o ac-

ce he Goos or ails o rovie he

Seller wih reasonable insrucions or

he elivery o he Goos, he sales

conrac shoul seciy ha he seller

shall have he righ o ake measures

such as i) sore he Goos unil hey

are elivere or collece; or ii) Sell

he Goos a he curren bes rice;an use he rocees o reimburse

he amoun he Buyer shoul have

ai or he Goos, as well as sorage

charges, insurance remiums an any

oher coss o sale.

Allocation o Damage/

Rise and Title

the aries are enile o siulae

he ranser o ile an allocaion oamage/risk uring he ransora-

ion o goos. When he aries ail

o siulae in he conrac, he risk o

amage or loss o he goos is borne

by he seller beore he subec goos

are elivere, an by he buyer aer

he subec goos are elivere.

taking he pRC Conrac law as an ex-

amle, i rovies ve exceions:

1. when causes aribuable o he

buyer rener elivery o he goos by

he rescribe ime imossible, he

buyer shall bear he risk o amage or

loss o he goos commencing rom

he ae o he breach;

2. when he seller sells goos ha

have been elivere o a carrier an

he goos are in ransi, unless he

aries have agree oherwise, he risk

o amage an loss shall be borne by

he buyer commencing rom he ime

o esablishmen o he conrac;

3. when he aries have no esig-

nae or clearly esignae a lace o

elivery, i he goos require ransor

as rovie by Iem (i) o paragrah

2 o Aricle 141 o his Law, he buyershall bear he risk o amage or loss o

he goos commencing rom he ime

he seller elivers he goos o he rs

carrier;

4. When he seller [laces] he goos

a he lace o elivery in accorance

wih he Conrac or in accorance

wih Iem (ii) o paragrah 2 o Aricle

141 , an he buyer ails o ake e-

livery o he goos accoring o he

rovisions o he conrac, he risk o

amage or loss o he subec maershall be borne by he buyer commenc-

ing rom he ae o he breach;

5. Where he urose o he conrac

is rusrae because he goos on

mee he qualiy requiremens, he

buyer may reec he subec goos

or erminae he conrac. When he

buyer reecs he subec maer or er-

minaes he conrac, he risk o am-

age or loss o he subec goos shall

be borne by he seller.

Governing Law

In accorance wih he Chinese ui-

cial racice, he choice o law mus be

exress an agree o by boh aries,

he choice may only all on he curren

subsanive law o a Counry or Re-

gion, no incluing heir conic law. I

he aries have no mae an exress

choice, hen he Chinese cours or

arbiraion organizaions will, on he

basis he rovisions o aricle 126 o

he Conrac Law, aly he law o he

counry he conrac is mos closely

connece wih .

In aiion, i he aries choose Chi-

nese Law as he alicable law, aries

shall know more abou he alicable

law or regulaions ha will aec heir

righs. or examle, i i s a conracual

maer he limiaion o acion will be

2 years insea o 1 year as in mariime

law, an his will cerainly aec he

claim.

Abou he Auhor

Phoebe Yanxia Zhou

Inernaional Business

Lawyer, Yingke Law irm

Yingke Law irmis an inernaional law

rm which has 17 branches in China an

more han 10 liaison oversea oces an

branches. Wherever you have a legal

roblem, Yingke can hel you.

phoebe Yanxia Zhou serves as an

Inernaional Business Lawyer or Yingke

in Shanghai. phoebe can be reache a

[email protected]
http://www.yingkelawyer.com/http://www.yingkelawyer.com/http://www.yingkelawyer.com/http://www.yingkelawyer.com/mailto:[email protected]:[email protected]://www.yingkelawyer.com/http://www.yingkelawyer.com/http://www.yingkelawyer.com/


20/32

With 3 decades of experience, 3 strategic ofces located in

Greater China, and over80 dedicated consultants, we are the

specialists to help you:

Obtain research & advice Grow strategically Set up China & HK operations Recruit talent

Trade products & services Outsource accounting

Visit us at www.ducia-china.com

We get to the most remote places in China


21/32


FINANCE

INANCING YOUR OpERAtIONS IN CHINA IS A BASIC

YEt StRAtEGICALLY IMpORtANt ENdEAVOUR. CHINA

OCUS pROVIdES A GUIdE tO MANAGING ANd GENER-

AtING INANCE OR YOUR BUSINESS.

As early as he incororaion roceure, a oreign inves-

or has o ecie on he amoun o invesmen or he

new comany. tying in wih his, hey have o submi

a basic business lan o he Chinese auhoriies, who

hen assess i he uning is aroriae or he lanneuneraking. Many invesors ry o commi as lile reg-

isere caial as ossible o limi oenial losses, bu

his can lea o serious roblems own he roa when

he comany runs ou o cash. Alhough, here are sev-

eral ways o generaing aiional uns o he Wholly

oreign Owne Enerrise (WOE), hey are neiher as

nor simle.

Debt/Equity Ratios

When he regisere caial is eermine, invesorsnee o be aware ha here is also a limi o he amoun

o oreign eb available. the ierence beween he

oal invesmen an he regisere caial is reerre

o as he borrowing ga. the ermissible eb/equiy

raios are shown here:

China Business Basics:Financing your company

susTAInABlE E ngInEERIng

By Thaddaeus Mueller, Business Development Manager, Fiducia

Financing your operations may not be ast or simple, but it is necessary.

Examle: I a comany esimaes ha i will nee USd

1M o se u an o nance all exenses unil i can o-

erae rom is own cash ow, i will have o inec 70%

o his as equiy an can only nance he remaining

30% hrough oreign eb. Generally, a leas 20% o he

regisere caial has o be ai in wihin hree monhs

aer he business license is issue, he res can be ai

wihin wo years.

Filling the gap

the ow o caial in an ou o China is sill highly re-

srice an closely moniore by he Sae Aminisra-

ion o oreign Exchange (SAE). SAE also ighly moni-

ors he amoun o oreign eb a comany has an all

relae ransacions require aroval.

Shareholder loans are a oular meho or inves-

ors o equi heir subsiiaries wih uns. Such ransac-

ions beween a oreign aren an is Chinese WOE

are ossible, bu subec o aroval by he Sae A-minisraion o Inusry in Commerce (SAIC). Aer his

aroval has been grane, he loan hen nees o be

regisere wih SAE. the erms o he loan agreemen

(uraion, ineres rae ec.) are also subec o aroval

by SAE.

Noe: Business ax an wihholing ax aly o he in-

eres aymens he WOE makes o is oreign aren.

Shareholer loans can only be use or invesmen ur-

oses an no or cash ow nancing. the WOE mus

oen a secial bank accoun or he loan an i has o

rove ha i use he money or he esignae ur-

ose aer reaymen. due o he exensive aerworkrequire, aroun wo monhs shoul be reserve or he

rocess alone beore he money can acually be use.
http://www.fiducia-china.com/http://www.fiducia-china.com/http://www.fiducia-china.com/


22/32


FINANCE

Local nancing

Inter-company loans are no allowe

in China. this means ha a oreigncomany wih several WOEs canno

move uns beween hose eniies. to

ensure ecien liquiiy managemen

beween several subsiiaries in China,

comanies have o emloy enruse

loan srucures which maor banks o-

er. In hese srucures he bank acs as

an inermeiary an allows subsiiar-

ies o one grou o ool heir liquiiy.

Local loans in RMB normally o no

coun owars he eb resricion o

a WOE. However, in cases where aloan is har o secure, he WOE can

rouce A oreign guaranee, which

is a guaranee o reaymen issue

by a oreign eniy (in mos cases he

aren) or oreign nancial insiuion.

this guaranee loan oes have o be

regisere wih SAE an hen couns

owars he oreign eb resricion.

Aiionally, bank lening in China is

regulae hrough quoas ha can re-

sul in a shorage o crei suly.

Leasing is anoher ossibiliy or aWOE o obain nancing. the Chinese

marke or nancial leasing has evolve

in he recen years an more an more

comanies (some o hem oreign

invese) oer leasing services. these

comanies are oen rusworhy sub-

siiaries o large insiuions as hey

require a large amoun o regisere

caial o se u. due o is naure o

being boun o he lease asse, leas-

ing is a goo alernaive o classic bank

loans o nance invesmens ino xeasses.

Increasing your total in-

vestment

A a cerain oin a WOE migh n i-

sel in a osiion where i requires ai-

ional invesmens, erhas o suor

urher growh or o resrucure. When

exising uns an borrowing ossibili-

ies run ou, he WOE has o increaseis oal invesmen an his requires

a subsanial amoun o aminisra-

ive eor an ime. the WOE has o

Abou he Auhor

Thaddaeus Mueller

Business develomen

Manager, iucia

thaaeus Mueller hols a maser egree

in Economics an Business Aminisraion

rom he Caholic Universiy o Eichsae,

Germany an has also suie in Souh

Arica an Ialy. Beore oining iuciaManagemen Consulans in 2004, he

worke in he auomoive inusry an in

he abrics an bres ivision o a large US

echnology comany.

thaaeus is he Business develomen

Manager a iucia, an oversees clien

relaionshis as well as markeing

aciviies or Hong Kong an China. He

has gaine subsanial exerience in

avising inernaional cliens on raing

an sourcing srucures in Hong Kong an

China rom inusries as iverse as oys,machinery, ackaging, exiles, lighing an

reare a number o ocumens (e.g.

uae easibiliy Suy an Aricles

o Associaion) an change exising

cericaes.

the aiional regisere caial ha

is ai in can only be use aer an in-

eenen auior has one a caial

vericaion aui. the whole rocess

usually akes aroun wo o hree

monhs o comlee. Along wih he

ae equiy also comes new borrow-

ing ossibiliies corresoning o he

ermissible eb/equiy raios lai ou

earlier.

Manage your money

Here are some key checks you shoul

be oing:

deermine a realisic nancial lan

rs o reven maor heaaches laer

on;

Consier all saru coss, eosis

an ees you have o ay;

Accoun or ime lags, such as re-ceiving reuns on imor uies an

VAt ai;

Careully monior your cash ow o

eec ossible shorages early on.

In shor, here are numerous ways o

un your WOE; hey us canno be

realize overnigh.
http://www.fiducia-china.com/http://www.fiducia-china.com/http://www.fiducia-china.com/http://www.fiducia-china.com/


23/32
http://www.cbiconsulting.com.cn/


24/32

Tradeo theTerms

Fronting Loans

A loan beween a aren comanyan a oreign subsiiary ha ischannele hrough a nancialnermeiary.

Lead strategy

Collecing oreign currency re-ceivables early when a oreigncurrency is exece o ereci-ae, an aying oreign currencyayables beore hey are uewhen a currency is exece oareciae.

importQuota

A irec resricion on he quan-iy o a goo ha can be imor-e ino a counry.

internationaL strategy

trying o creae value by rans-

erring core comeencies o or-eign markes where inigenouscomeiors lack hose come-encies.

muLtinationaL

enterprise (mne)

A rm ha owns business oera-ions in more han one counry.

mercantiLism

An economic hilosohy avo-

caing ha counries shoul si-mulaneously encourage exorsan iscourage imors.

poLycentric staFFing

A sang olicy in an MNE inwhich hos-counry naionals arerecruie o manage subsiiar-ies in heir own counry, whilearen-counry naionals occuykey osiions a cororae hea-

quarers.

turnkey project

A roec in which a rm agreeso se u an oeraing lan ora oreign clien an han overhe key when he lan is ullyoeraional.

transnationaL

corporation

A rm ha ries o simulaneous-ly realize gains rom exeriencecurve economies, locaion econ-omies, an global learning, while

remaining locally resonsive.


25/32

TradeshowCalendaror a comlee lis o all he raeshows in he greaer China region lease visi Global Sources Calenar

All Shows highlighe in Re will be aene by CSIC.

Our booh locaion will be lise in he show guie uner our cororae sonsor passageMaker

oin CSICs Mike Bellamy as he hosts Global Sources New Buyers Conerence: How to source rom China Seminar Series

June 2011 July 2011Wed 1 Global Sources dubai (davi dayon in

aenance) Booh # 3B08

Thu 2

Fri 3

Sat 4

Sun 5

Mon 6

Tue 7

Wed 8

Thu 9

Fri 10

Sat 11

Sun 12

Mon 13

Tue 14

Wed 15

Thu 16

Fri 17

Sat 18

Sun 19

Mon 20

Tue 21 Hi China Show- Shanghai (ShanghaiNew Inernaional Exo Cenre)Wed 22

Thu 23

Fri 24

Sat 25

Sun 26

Mon 27

Tue 28 China Inernaional Auo Aermarke

show 2011 (Zhengzhou Inernaional

Convenion an Exhibiion Cener)Wed 29

Thu 30

Fri 1

Sat 2

Sun 3

Mon 4

Tue 5

Wed 6

Thu 7

Fri 8

Sat 9

Sun 10

Mon 11 Global Sources Miami (Mike Bellamy in

aenance) Booh # 3L35Tue 12

Wed 13

Thu 14

Fri 15

Sat 16

Sun 17

Mon 18

Tue 19

Wed 20

Thu 21

Fri 22

Sat 23

Sun 24

Mon 25

Tue 26

Wed 27

Thu 28

Fri 29Sat 30

Sun 31


26/32

and

Teaming up to ofer ree conerences on China sourcing topics in Hong Kong, Shanghai, Dubai,

Mumbai, Johannesburg, Miami, and Singapore in 2011

CSIC advisory board members hosting recent conerences

in Hong Kong

Next stops on the global seminar series:

July 11-13, 2011, Miami at Booth # 3L35

(CSICs Mike Bellamy in attendance)

Contact [email protected] to book seats or

an individual or group.

Buying rom China: What new buyers need to

know

this one-hour inroucory level course on sourcing inclues

moules such as:

Managingexpectations:Sourcingopportunities

an common ialls

QualityControlFundamentals

Shipping&LogisticsOverview

SupplierPayments

Wheher youre a beginner or veeran buyer who wans a

resh ersecive on he subec, hese seminars will give you

valuable is on sourcing more roucively an roably.

Gain inormaion ha will coninue o ay o or years o

come.

Negotiation tactics or successul purchase

contracts/orders

this one-hour inermeiae-level course will iscuss com-

mon ialls an sraegies in sulier evaluaion an

urchase orer agreemens.

Outline

1. Conucing RQ (Reques or Quoaion)

2. ace-o-ace Negoiaions

3. Criical Conracual Iems

Price

Quality

LeadTimes

Paymentterms

IntellectualProperty

Valuable tools o the trade such as check liss an emlaes

use by inusry exers will be rovie.

About the key note speakers: Mike Bellamy & David Dayton

Mike serves as the Chair o the CSIC advi-

sory panel and is the ounder oPassage-

Maker.

Mike, in Asia since 1994, is recognize as exer

on China sourcing. Mike has been a eaure

resener or a number o high role seminarsan rae shows incluing Global Sources

AsiaExpoHK,GlobalSourcesDubai,&theUS

Chamber o Commerce. He lives in Shenzhen

wih his wie an augher.

David Dayton is the owner and manager o

SRI in Shenzhen, China.

davi has nearly weny years exerience

working in an wih Asia an is a regular

resener or Global Sources New Buyer train-ing seminars in Shanghai an in Hong Kong.

davi, uen in boh thai an Manarin also

heas he Silk Roa Inernaional Blog- voe

one o he o 10 China business blogs.
http://www.globalsourcingfair.com/mailto:Exd%40ChinaSourcingInfo.org?subject=CSIC%27s%20Bookinghttp://www.psschina.com/http://www.psschina.com/http://www.silkroadintl.net/http://silkroadintl.net/blog/http://silkroadintl.net/blog/http://www.silkroadintl.net/http://www.psschina.com/http://www.psschina.com/mailto:Exd%40ChinaSourcingInfo.org?subject=CSIC%27s%20Bookinghttp://www.globalsourcingfair.com/


27/32

Tradeo the

Tools

Ihone alicaions are cerainly

all he rage hese ays, an inee

wheher in Hong Kong, Shenzhen

or he remoe counrysie, i seems

har o avoi seeing someone wih

an Ihone. While hey are oular or

many reasons, we a he CSIC have also

rie o romoe a leas some o he

useul conces o he Ihone. Beyon

cosing very lile money (i no ree o

charge), Ihone as are now seem-

ingly abunan. Beyon ha, more

an more are being creae wih he

raveling businessman in min. While

our as issues have romoe ali-

caions relaing o inernaional busi-

ness erms or HS Coes, no a shoul

be eeme unworhy o iscussion.

In ac he rs a iscusse may be

he mos imoran a you buy whencoming o China!

Sit or Squat

As he name suggess, he Si or Squa

a is useul or ning suiable res-

room accommoaions hroughou

your ravels. While rimarily ocuse

on some o he larger inernaional

ciies (Beiing, Shanghai, Guangzhou),

ning a suiable bahroom uringyour ravels is nohing o ake lighly.

Currenly 65,097 oiles worlwie

have been role, an as more an

more eole ownloa he a, he

more an more bahrooms aroun he

worl can be role.

Some eaures o he Si or Squa in-

clue:

the abiliy o view nearby res-

rooms on a ma or in a lis sore by

isance

See which bahrooms are oen now

Readreviews,ratings&picturesof

he oiles beore you visi hem

Aiionally one can see i here are

changing ables, hanica accessible

an oher iems wihin a given aciliy

Anyone who has one any amoun

o raveling in China can aes o he

imorance o knowing where he

bahrooms are (esecially i youre no

accusome o he oo or waer here).

this alicaion is ree o ownloa ahe itunes sore

Wi-Fi Finder

Anyone who has one any amoun o

raveling in China can ALSO aes o

he imorance o knowing where in-

erne can be oun! Beyon he obvi-

ous hosos such as Sarbucks (where

los o eole are connecing) ning

reliable laces o ge inerne o con-uc business can be a challenge o

n. Unless you wan o sen e-mails

or conuc business in a lou over-

crowe inerne ca (where rivacy

is unhear o), ownloaing he Wi-i

ner alicaion may also be o use

o hose conucing business in China.

Anoher a ha is ree o ownloavia he Ales Isore, he Wi-i ner

can hel buyers n all Wi-i hosos

in your area an i buges are o

concern, one can choose o n ree

Wi-i only.

While many seasone buyers may be

erecly in sync wih he raveling

challenges in China, here are ools

ha can be use o hel make your

ris more eecive (an hey on

have o be in he orm o books which

can weigh you own). Anyhing hacan make your lie a lile easier will

make your ri ha much more eec-

ive.

Have any other apps that you eel

would help those buyers coming to

China? Let us know about them andwe can profle them in upcoming is-

sues!

**the China Sourcing Inormaion Cener has no been ai o romoe he above alicaions. However in orer o encourage a

more environmenally rienly business worl, he CSIC oes romoe hose roucs ha hel reuce he amoun o aer con-

sume (or any oher moe o heling he environmen beyon less aer usage).

Sit or Squat & Wi-Fi FinderIPhonE APPs


28/32
http://www.venturetech.info/http://www.venturetech.info/


29/32

Coninuing on wih anoher SEZ (Secial

Economic Zone) his monh, we move

o norhern China in orer o iscuss a

neighbor o Beiing- tianin. tianin, a me-

roolis o norhern China, is one o he ve

naional cenral ciies in China (he ohers

being- Beijing, Shanghai, Chongqing &

Guangzhou). the ciy is he sixh larges

in erms o oulaion, borering Hebei

province an he Beiing Municialiy.tianin also benes rom is vas coasline

laying hos o he worls h larges or

(in erms o hroughu).

Like oher Chinese ciies, tianins hisory

sreches hunres o years. As a resul

o he Secon Oium War, he ciy was

oene o oreign rae wih Briain an

rance in 1860. or over y years more,

he ciy woul be ivie u among sev-

eral oreign owers unil jaan eclare

war on he Unie Saes an Englan. or

hose counries seeking o o businesswih Beiing (known hen as peking) tianin

serve as a convenien or. the Hai River

ows hrough tianin an ue o he Gran

Canal he ciy is connece o boh he

Yellow River (owing near Beiing) an he

Yangze River (owing hrough Shanghai).

City Setup

tianin isel is sli ino 2 main secions-

he Ol Ciy an he Binhai new area. More

secically hough tianin consiss o 16

couny level ivisions, 13 isrics, 2 ruralisrics an 3 rural counies. the mos

imoran area o he ciy is he Binhai new

area which is sli ino 9 zones.

Binhai New Area

Binhai new area is calle he new growh

ole in China. this area o tianin alone

boass an annual Gdp growh rae o 30

ercen! two hings have hele Binhai

esablish an mainain his ye o growh-

a. Binhai is considered a Special Economic

Zone (SEZ)-just as Shenzhen is also given this

statusb. Tianjin has the lowest tax rate in China.

Wihin Binhai are nine uncional zones,

which all house cerain secialies (such as

he Avance Manuacuring Zone or he

Seaor-Base Inusrial Zone o name a

coule o hem). Wihin hese nine zones

285 orune Global 500 comanies have

invese an esablishe branch oces as

o 2010.

Climate

Like mos o Norhern China, tianin exe-

riences our seasons hroughou he year

(hough in sark conras o he Souh,

winers are he season ha lass he lon-

ges). Winers en o be col, winy an

ry, while summers ho an humi. tianin

ges very lile rain (an average o us 21

inches er year). While emeraures in

oher areas can be coune on o remain

airly consisen, tianins emeraure ex-

remes range nearly one hunre egrees

ahrenhei (-9-105)!

Transportation

tianin was he rs ciy in China o evelo

a tram Sysem back in 1904. Much like

oher Chinese ciies, tianins Mass transi

City Data

Area toal

11,760/sq km (4,540.6/sq mi)

poulaion toal

(2009) 12,281,600 (municialiy)

poulaion densiy1,044.4/sq km (2,704.9/sq mi)

Useul links

Wikieia: transor

Wikipedia:TianjinMetro&Binhai

Mass transi

Wikieia: Binhai New Area

TianjinCity Ino

Tianjin, China in the 1930s.

Sysem (MtR) is uner massive exansion. I was

he secon ciy in China o oerae a subway sysem

(1970), an currenly has our lines in oeraion.

there are also over 400 bus lines oeraing hrough-

ou he ciy now. train ravel is highly revalen ue

o is roximiy o Beiing (as well as he imorance

o is or). Hi see rains rom tianin o Beiing

now ake only 30 minues, cuing ravel ime by

hal. tianins airor has become one o he maor

Air cargo hubs o China, while also serving as aninernaional so or ighs rom boh Korea an

jaan.
http://en.wikipedia.org/wiki/Tianjin#Transporthttp://en.wikipedia.org/wiki/Tianjin#Current_map_of_Tianjin_Metro_and_Binhai_Mass_Transithttp://en.wikipedia.org/wiki/Tianjin#Current_map_of_Tianjin_Metro_and_Binhai_Mass_Transithttp://en.wikipedia.org/wiki/Binhai_New_Areahttp://en.wikipedia.org/wiki/Binhai_New_Areahttp://en.wikipedia.org/wiki/Tianjin#Current_map_of_Tianjin_Metro_and_Binhai_Mass_Transithttp://en.wikipedia.org/wiki/Tianjin#Current_map_of_Tianjin_Metro_and_Binhai_Mass_Transithttp://en.wikipedia.org/wiki/Tianjin#Transport


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The Last Page *true Sories an images o humor/horror rom he ron lines o China Sourcing

*the China Sourcing Inormaion Cener (CSIC) is an eucaional service esigne o hel boh he exeri-ence sourcer oing business in China, an a buyer who is us beginning o source heir roec rom Chinaor he rs ime. Mos o us who have been in China long have seen or hear boh harrowing an hillarious

sories/insances while oing business here. the Las page was creae or ha urose- o allow our rea-ers o share heir sories o ellow reaers/sourcers. We here a CSIC hoe o collec he very bes (an wors)sories an images o riums an ailures, humor or horror or he worl o see. We a CSIC have hunreso sories o share ourselves, bu we really look orwar o conribuions rom ellow sourcers. Enoy!

Have any unny/scary sories o share wih us?Any unny or scary icures?

We love o hear your sories or see your icures!

please eel ree o sen any sories/images

o he Execuive direcor an Eior o he

China Sourcer [email protected]

Many hanks o Casey in Shenzhen or sening us his !
mailto:exd%40chinasourcinginfo.org?subject=sourcing%20stories%20and/or%20imagesmailto:exd%40chinasourcinginfo.org?subject=sourcing%20stories/imagesmailto:exd%40chinasourcinginfo.org?subject=sourcing%20stories/imagesmailto:exd%40chinasourcinginfo.org?subject=sourcing%20stories%20and/or%20images


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The Classieds

Multimedia/Graphic Design

American Freelance Web, Video, and

Graphics Designer in Shenzhen.

Contact Curt at:

[email protected]

Making a trip to China?

I can help with things like interpretation

and trip planning. Based in Shenzhen but

willing to travel. Reerences available.

[email protected]

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CSIC will help to resolve disputes that

buyers may have .

Contact David at:

[email protected]

English Speaking Lawyers

- protect your IP

- review contracts

- take suppliers to court i they have done

you wrong

[email protected]

Worried your products are be-

ing knocked of and on displayat a China trade show?

Ill walk the show and look around,

even gather evidence or you, saving

you a ight to China. 2400 RMB a day

plus travel expenses i out o town. Most

shows can be walked in a day. Recom-

mended by the China Sourcing Inorma-

tion Center.

[email protected]

the China Sourcing Inormation Center (CSIC) is a no or ro

organizaion roviing he ollowing services a no charge:

China Sourcer eMagazine Library

Ask he Exers Service

Vieo tuorials

Enorse Service proviers Lis

www.ChinaSourcingIno.org

Woul you like access o he oeraions manual o

a successul sourcing agency? Almos 300 ages o

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an more inormaion, lease visi:

h://chinasourcingino.org/book/

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mailto:[email protected]:ChinaHelp%40yahoo.com?subject=China%20Helpmailto:exd%40chinasourcinginfo.org?subject=Dispute%20Resolutionmailto:exd%40ChinaSourcingInfo.org?subject=Law%20Inquiry%20from%20China%20Sourcermailto:EyesAndEarsInChina%40gmail.com?subject=Eyes%20And%20Ears%20In%20Chinahttp://www.chinasourcinginfo.org/http://chinasourcinginfo.org/book/http://chinasourcinginfo.org/2010/12/12/global-sources-new-buyers-conference-hosted-by-the-china-sourcing-information-center/http://chinasourcinginfo.org/book/http://www.chinasourcinginfo.org/mailto:EyesAndEarsInChina%40gmail.com?subject=Eyes%20And%20Ears%20In%20Chinamailto:exd%40ChinaSourcingInfo.org?subject=Law%20Inquiry%20from%20China%20Sourcermailto:exd%40chinasourcinginfo.org?subject=Dispute%20Resolutionmailto:ChinaHelp%40yahoo.com?subject=China%20Helpmailto:[email protected]


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