Why is furniture so cheap in China?

Ⅴ、How to Pay China Suppliers?

The best method to choose when paying your China furniture supplier depends on the amount you are going to be paying.

China suppliers may be notorious for delayed deliveries but they are not known to be scammers. Given this image does not give importers reason not to be careful because even in remote instances, there are really scammers.

Here are the common ways importers pay China suppliers

1.International Wire Transfer

This is the oldest payment mode and the most commonly used for small and medium sized transactions. The buyer pays a down payment before production starts and the full payments as per their agreed payment term.

Importer risk losing his money should anything goes wrong. Supplier also stands to lose when after down payment and production, the buyer, for whatever reason, loses interest on his order.

2.Letter of Credit

This is one of the most secured payment mode. This is commonly used for transactions over $50,000.  LCs though involve a lot of paper work with the bank. The bank also charges exorbitant fees to get an LC.

3.Online Escrow

This payment term is ideal for small transactions only usually below $ 5,000. You can find escrow services in the internet. This is not a very secure payment mode because there is not much paper work involved making future disputes difficult.

4.Sourcing Agents / Companies

This is not actually a payment mode but if you are working with a sourcing agent or company, you can course your payment through them. Small buyers often take advantage of this payment as this is safer than an online escrow service.

The sourcing agent/company will pay the China supplier through COD or Chinese escrow. This is a good option because the sourcing agent/company can opt to reject and not pay the supplier if the quality of the delivery does not conform to the agreement.

5.PayPal

PayPal is similar to credit card payment except that you do not expose your credit card details. You instead attach your credit card to your PayPal account and pay your supplier through an email account. PayPal deducts a fee when funds in an account is transferred to a bank account. Suppliers commonly charge this fee to the buyer.

This payment mode is feasible for small orders.

6.International Credit Cards

International credit cards are seldom used when supplier is a factory. International credit cards are often used when importing small electronic accessories.

7.Cash

Although risky, most furniture orders are paid in cash especially when buyer is represented in China by a sourcing agent or company. This payment option often gets the lowest prices. Cash option should only be used in small orders or when a buyer fully trusts the supplier.

8.Western Union

After PayPal, Western Union is the easiest payment option. For small and sample orders, most China suppliers prefer this payment mode. This is a high risk payment option for importers because an individual and not the company will be receiving the payment. WU however is fast and charges a very small fee. Paying through Western Union though is often correlated to internet scams.

Whether setting up your new workplace or home, you will need new furniture. You may also need new furniture when you want to restyle your living or workplace. During these times, the question you probably ask yourself is where to get affordable but quality furniture. If you were wondering about this, worry no more because we have the answer for you.

China is a great place to get furniture. Furniture from China is relatively affordable because the furniture is sold at wholesale prices, which are significantly cheaper than retail prices. Below are more reasons why China should be your go-to place for furniture.

1. Unique Furniture

Despite being known worldwide for producing substandard products, China tops the list of global producers when it comes to furniture. A recent survey revealed that China is home to over 50,000 furniture producers. Evidently, there is a high demand for Chinese furniture.

The furniture from China can be unique. China is known for producing furniture pieces, including great kitchen pieces.

Chinese craftsmen can create furniture in a way that all the parts of the table can connect without using screws, nails, and glue. This type of furniture has no sign of connection, and you can easily assume that the whole furniture was made using a single piece of wood.

2. Competitive Price

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Besides having numerous factories for making furniture, Foshan is also home to raw materials used in making furniture. These are the same raw materials used in making Chinese kitchen designs.

Since the raw materials are also sourced from the same area, the cost of transporting raw materials is eliminated, thereby leading to a significant reduction in prices of furniture.

Secondly, most furniture-making companies in China are located close to harbors, making it easy for the buyers to transport the furniture. For instance, Lecong is located close to three harbors. These are; Shenzhen Port, Guangzhou Port, and Port of Victoria, HK.

These two significant factors are what contribute to the competitive prices of furniture in China.

3. Personalized Service

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In addition to the advantage of the competitive prices of Foshan furniture, buyers also get personalized customer service when they buy their furniture here. Here, you benefit from choosing the design, shape, size, and color of the materials manufacturers will use in making your furniture. Chinese furniture manufacturers can make all these features specifically to your liking. The staff here even offers you suggestions for items that fall under your preference.

Thus, besides choosing a perfectly made piece of furniture from the ones available, you can have your customized piece of furniture made from scratch. For instance, you can have your kitchen furniture designed to resemble the kitchen from China. This customized service saves you time and energy you may end up spending searching for your ideal piece of furniture elsewhere.

4. Easy Transport of Furniture

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Furniture manufacturers in China are strategically located in the country, making export of ready-made furniture easier. In addition, most of the manufacturers are located near Hong Kong, a well-known economic gateway connecting the ports to mainland China.

Hong Kong has a deep-water seaport, and this is where trading of manufactured products like furniture takes place. This is one of the busiest seaports in the entire world.

With more than 50,000 furniture manufacturers in China, it is no wonder China continues to be one of the leading countries worldwide when it comes to manufacturing. Most of the furniture available for sale at most high-end furniture shops is manufactured in China.

Thus, by buying your furniture straight from China, you end up saving yourself a lot of coins while getting customized service and tasty, unique furniture made by experts.

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