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If you have never imported goods from China before, you might find the whole idea a little daunting. So what should you specifically bear in mind about importing your goods from China? We address your questions here.
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Companies that have never imported from China before will often find the whole idea intimidating. This is because doing business with Chinese suppliers will often involve overcoming a language barrier. Then, there is the question of whether the supplier will arrange for the consignment to be sent to the UK or the importer.
Sorting out whether to choose free on board (FOB) shipping or Ex Works (EXW) is also important since this can affect who is at risk if something goes wrong in transit. That said, this is true of imports from countries all over the world. So what should you specifically bear in mind about importing goods from the People’s Republic of China? Read on to find out.
1. Choose the Right Port for the Job
If you are arranging an import of goods from China, you might think one port is much the same as the next. This is not so, however. Some are geared up for heavy cargo and raw materials while others are better suited to manufactured products. There again, some are cheaper to ship through but your consignment may take longer to arrive in British waters.
2. Get Expert Help with Importing Goods from China
Shipping from China means completing reams of paperwork. If you don’t, your goods could be delayed either as they exit China or when they arrive in the UK.
If you have not made the right declarations or registered for overseas imports with HMRC, then you can face all sorts of problems including impounded goods in the worst cases. Companies like Barrington Freight provide freight forwarding services to UK businesses. Their services help to iron out such potential issues with documentation.
It is important to choose a freight forwarder with experience of Chinese imports specifically. Not all will have the necessary know-how to make your importation process run smoothly.
3. Look into Freight Options for Importing Goods from China
Most goods imported from China come in containers that are shipped through the Singapore Strait across the Indian Ocean and into the Mediterranean Sea via the Suez Canal. This is not your only option, however.
It is also possible to import via air freight services so long as your consignment is large enough to make it economically viable to do so. For FOB shipments, this means something over 100 kilos. The corresponding figure for EXW shipments would be about 200 kilos.
The advantage of air freight is that goods land in the UK in a couple of weeks or less. In contrast, ocean-going containers take about six weeks to arrive.
4. Keep in HMRC’s Good Books
Generally speaking, HMRC will allow for some give and take with importers who are trying to do the right thing. But you’ll find the whole process becomes much, much harder if you try to cut corners or, worse still, make false declarations. This means coming to grips with UK tariffs about importing goods from China.
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You must also understand commodity codes and whether or not the class of goods you plan to import requires a specific license. Failures in any of these areas will raise more than an eyebrow and could lead to systematic inspections. Never try to pass off a business import from China as something that is for personal use. It simply isn’t worth it.
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