Christmas is just around the corner! It might not be for everyone but for electronic businesses. This is the ideal time to make their decisions on buying electronics for the holiday season. Importing electronic goods from China to the US is a good deal. The profit margins on Chinese electronic products in the US are tremendous.
"Americans love electronic products, and China is one of the biggest exported to the US with a little over than a $600 Bn market."
As promising and lucrative as importing electronic goods from China sounds, it's not that an easy task. The trade policies, commercials, and logistics are just the broader categories of challenges one might face in lack of proper knowledge about China's export policies.
We have put on a blog that helps you navigate your way step-by-step for importing your electronics from China to the US before this holiday season.
How To Import Electronic Goods from China?
Every trader considering importing electronics from China has the big question running on their mind – “how to import electronics from China to the US?". Well, here's how to do so step-by-step.
Step 1: Identify What You Want to Import
China is a big nation, and the country has thousands of businesses ready to manufacture and export something for you. An important task is to be clear about what you need.
Gather sufficient information about the product you want. Contact manufacturers and sellers. Ask them to create a sample and send them over. Get the product specification sheet too. Once you receive it, assess everything carefully. Sometimes you may want to combine multiple items and sell them together in a package.
Make sure you are not choosing only because of huge margins or looks. Be mindful of customer experience. Remember, one good piece equals lifelong business.
You are going to handle the bulk of products. Hiring a packing partner who can kit multiple items together would be a smart choice, instead of using a courier agency and doing the rest on your own.
Step 2: Know the Rules & Regulations
You are purchasing from another nation, and, naturally, the rules will differ. Learn about different rules and taxes. Sometimes having a co-packer like Asiapack helps a lot. They co-pack your multiple items in a kit and provide tax benefits due to their facility in a custom bonded location.
Research well about how you can get tax exemption and thicken your profit margins.
Step 3: Choose the Trustworthy
It’s important to check all the norms that your manufacturer or seller in China fulfills. Remember, you are liable for the quality and compliance of any product you procure. Selecting a reputable and renowned seller will be a better choice. Having a trustworthy supplier complying with the norms takes away a lot of your burden.
Step 4: Finalize the Pricing
Once you know whom you want to purchase your products from, think of a good deal beneficial for both. Do not indulge in an unfair negotiation where your supplier feels underpaid. Set an arrangement to pay them more frequently. This helps you keep the credit low and a good buyer reputation.
A good buyer reputation goes a long way in different ways.
Step 5: Ready a Concrete Contract
Clarity and transparency are the keys to having a strong contract between you and the supplier. List the items that'll be used to make your product, processes, payment, what services will be inclusive, delivery timelines, responsibilities of each party, and penalties on failure to deliver or pay.
While a contract can be simple or detailed depending upon your rapport, having everything on paper is a good way to bind both parties.
Step 6: Know your 10-digit Commodity Codes
Every product has a 10-digit code. This code helps in knowing about important details related to the product. Rates and restrictions are also easy to find with this code. With your 10-digit commodity code, you easily keep track of your electronic product.
Step 7: Get an Import License
A valid import license helps in purchasing items in bulk for wholesale. A license helps ease the legal process and acts as ID proof to get an express pass.
Step 8: Know your Taxes
When you buy something, you pay a VAT or Value added tax. Asiapack, with its custom bonded location, helps you trade tax-free with various tax exemptions.
Business at its starting phase is always a dreamy affair. A step-by-step guide covering all the aspects of how to import electronic goods from China is a great start ahead. There's a lot needed to set up a business. But these steps are easy to implement and help you start importing your electronics quickly from China to the US.
Asiapack is a leading co-packaging company that helps businesses worldwide to procure their items from different manufacturers and kit them in a single package. Their customs bonded location is an add-on in saving the costs. Their per product cost ensures no hidden charges.
No matter what do you import from China, their vast industry experience gives them the advantage of handling all kinds of products. Some of the renowned electronics giants who rely on them are Philips and Sony.