Thursday, 11 May 2017

The latest aluminum ingot business scammer from China

We received a report from one of our Indian customers last week, complaining that they were cheated by a Chinese supplier below, they placed an order of aluminum ingot in March, 2017 and paid them the deposit on March 15 but in early May they received an empty container from the supplier. I had a look at their Business Card below and found out that they might be a professional scammer in China:

Changchun Hua Sheng Metal Sales Co., Ltd
Attn: Mr. Frank Wang (C.E.O)  Mobile: 0086-151-22987201
      Mr. Tony Chen (Sales Manager)  Mobile: 0086-185-26655021
Add: Tower B, 24 E, Huasheng Plaza, No.146, Weidi Road, Hexi, Tianjin, China
Tel: 0086-022-60771752        Fax: 0086-022-60771752
Email: north_metal@163.com   3483381657@qq.com
Website: www.north-metal.com

Let's tell you why this supplier might be a professional scammer without inspecting them in person.

1.Company name and their business address
Their company name indicates that they are registered in Changchun city but their address betrayed that they were living in Tianjin city, China. These two cities are several hundred kilometers away from each other and it is NOT allowed for any normal and legal business in China.

2.Office telephone, fax and cellphones
Mobile: 0086-151-22987201  or  0086-185-26655021
Tel: 0086-022-60771752        Fax: 0086-022-60771752
Their telephone, fax and cell phone numbers are all registered in Tianjin city, while their company is registered in Changchun city, which is NOT allowed for any legal business in China.

By the way, everybody can position a mobilephone number simply by fill the number in the following blank:  http://www.hao123.com/haoserver/showjicc.htm

3.Business licesne checking
Any legal company from Changchun city can be checked out at Changchun MSA (short for Market Supervision Administration), here is their official website: www.ccgs.gov.cn
No information on this supplier found at Changchun MSA, indicating that they are NOT a qualified company now in China.

4.Business scopes
In China, every company or exporter has their own limited business scope and lot of the businesses have to be licensed. If the supplier is selling too many different hot-sale products onine, then it might be 100% scammer.

5.Unbelievable prices:
If their prices are too low to be true, you have to forget them or ask them for reference before doing any business with them. Ask them why their prices are so low. If your order is large enough, then you'd better book an On-site third-party supplier/ factory inspection service from STIN or similar service companies in China to check them out in person before further discussion.

Top 10 most attractive Chinese cities for foreigners

Shanghai ranked as the "most attractive" city for foreign residents due to its international atmosphere and multicultural environment, according to an annual survey.

Beijing remained second, thanks to its advantages in healthcare and educational resources, while Hangzhou also held onto third place.

The rankings, released on April 15, are based on a survey of about 25,000 expatriates nationwide in December and January.

The criteria ranged from living environment and local culture to administrative services and favorable policies for foreign residents.

The China Society for Research on International Professional Personnel Exchange and Development launched the annual survey in partnership with International Talent magazine in 2010 as a way to promote the nation's cities.

Let's take a look at the top 10 cities for foreigners.

No 1 Shanghai

No 2 Beijing

No 3 Hangzhou

No 4 Qingdao

No 5 Tianjin

No 6 Shenzhen

No 7 Suzhou

No 8 Guangzhou

No 9 Nanjing

No 10 Changchun

Resources: STIN News

Thursday, 9 February 2017

2017 Top 10 Chinese brands

A total of 55 Chinese companies made to a list of the world's 500 most valuable brands this year, released by United Kingdom-based consulting firm Brand Finance.
Let us take a look at the top 10 outperformers from China.

No.1 ICBC
Brand value: $47.83 billion
Official website: www.icbc.com.cn

No.2 China Mobile
Brand value: $46.73 billion
Official website: www.10086.cn

No.3 China Construction Bank
Brand value: $41.38 billion
Official website: www.ccb.com

No.4 Alibaba
Brand value: $34.86 billion
Official website: www.alibaba.com

No.5 Bank of China
Brand value: $31.25 billion
Official website: www.boc.cn

No.6 Sinopec
Brand value: $29.56 billion
Official website: www.sinopecgroup.com

No.7 PetroChina
Brand value: $29 billion
Official website: www.cnpc.com.cn

No.8 Agricultural Bank of China
Brand value: $28.51 billion
Official website: www.abchina.com

No.9 Huawei
Brand value: $25.23 billion
Official website: www.huawei.com

No.10 Tencent
Brand value: $22.29 billion
Official website: www.qq.com

Among the top 10 brands, 7 of them are state-owned companies here in China.

Tuesday, 15 November 2016

How we discovered the copper wire scrap fraud business in Tianjin

Last Thursday (Nov 10,2016), one of our African customers booked our Business Guide Service in China, asking us to accompany him and audit the suppliers together in Tianjin for his copper wire scrap business. The supplier is a fully registered new exporter from Tianjin according to their Business License and Export License offered, they picked us up at the hotel with a car, took us to their office and warehouse, we checked the goods, discussed the trade terms, price and packages etc, everything seems to be very normal.

However, on the third day (Nov 12,2016), I took the customer to their office without informing the supplier of our arrival.(We were supposed to check their export qualifications in person.). When we reached their office during the work time that afternoon, everything shocked us. At the same address, on the same door, they changed their Company name, Logo and staff within 2 days ! I asked them for Ms Chen (the sales lady) and they said they did not know her! After that I called my colleagues to further investigate this supplier in China, noting that they used fake information in their export license. By then we came to a conclusion that this was a real business scammer in China.

Features of such business frauds are:
1. Fully registered NEW trade company and exporter but disguised as real manufacturers online;
2. Insist on using their own Shipping Agent;
3. Require 30% deposit in advance by T/T;
4. Offer high quality samples for FREE sometimes to gain trust from the clients;
5. Use very low prices to attract the clients worldwide. (Far below the market price in China.);
6. Scammers are normally from North China at present. According to the case-reports from our clients, Shijiazhuang, Zhengzhou, Qingdao, Dalian,Tianjin etc is notorious for such business scams in China.

Source: Verification Team, STIN Group (www.chinabizservices.com)

Saturday, 13 August 2016

Top 10 best China cities for start-up businesses

Chinadaily News: A list of 'Best cities for start-up businesses in Chinese mainland 2016' was jointly released on July 12 by Biaozhunpaiming, Tencent Research Institute and UR Work.

The list was made based on three criteria for start-up businesses - popularity, policy environment and intelligent support. Beijing tops the list with the highest score 96.448, almost 36 points higher than the second runner-up Shanghai.

Here is the list:

1 Beijing
Score: 96.448

2 Shanghai
Score: 59.2638

3 Shenzhen
Score: 51.2196

4 Hangzhou
Score: 42.1493

5 Guangzhou
Score: 41.2384

6 Tianjin
Score: 38.8829

7 Wuhan
Score: 36.1946

8 Suzhou
Score: 35.9827

9 Nanjing
Score: 35.5945

10 Chengdu
Score: 34.0449

Edited by STIN Sourcing Team

Monday, 27 June 2016

2016 Top 10 Social Media in China

Social Media, such as Facebook in the outside world, of Europe, USA and other parts of Asia has been also a hit in China.

However, the Chinese Internet Business has their own brand of Social Network. Running with hundreds of millions of users or subscribers, these media is a Gold mine to the e-Marketing Managers.
 
According to the market survey from Bosi, a local information agent in China, here is the TOP 10 Social Media in 2016:

1. WECHAT
  http://weixin.qq.com

2. QZONE
  http://qzone.qq.com

3. WEIBO
  http://weibo.com

4. TIEBA
  http://tieba.baidu.com

5. RENREN
  www.renren.com

6. PENGYOU
  www.pengyou.com

7. DOUBAN
  www.douban.com

8. KAIXIN
  www.kaixin001.com

9. ZHIHU
  www.zhihu.com

10. TIANYA
  www.tianya.cn

You can use above social network platforms to market your items or services in Mainland China.

Source: STIN service team

Wednesday, 22 June 2016

Importing From China - Things That You Need to Know

Setting up a business comes with lots of responsibility. Once you're up and running, staying on top of your day-to-day operations can be a lot of work, and sourcing products to sell takes up valuable time and resources. China remains one of the world's most popular destinations for sourcing across every product category,but its unique marketplace can be difficult to negotiate if you know nothing about the business environment there.At every stage of the procurement process, it's important to get to grips with the peculiarities of the Chinese business world.

Selection of a qualified supplier

There are many ways for you to find out some qualified suppliers in China, the traditional way is to go and meet them at local trade fairs, say, Canton Fair, one of the largest trade fair on the globe.The best way to find some qualified suppliers is to source them at local manufacturing bases,in China, each city has their pillar industries, thus there are tens of hundreds of different manufacturing bases in China, please click here to find out some popular manufacturing bases in China.The most cost-saving way to source Chinese suppliers through online B2B platforms like Made-in-China,Globalsource or Alibaba etc, which allows you to search through high volumes of suppliers using a range of different criteria. It's fast, effective and will make it far easier to single out a few promising prospects from the thousands of companies out there. However,there might be lot of business scammers online as well,they can create anything online,some Chinese companies may have an untranslated or poorly translated website that doesn't tell you all you need, so if you can enlist someone to help you search in Chinese it could a worthwhile step.

Contact these suppliers, explain your business and get a sense of who is genuinely interested in you as a customer. The ones who reply promptly to emails and have all the information you ask for on hand are worth holding onto. Give them a detailed specification and ask for samples - and when they arrive, make sure you check the packaging and instructions as well as the build quality. Do they understand and meet all the right certification requirements for the market where you'll be selling the products? Are you sure that your supplier is a qualified factory? If you're not sure, you can simply check out their registered information with local officials or a Company Verification service from local experts in China.

Auditing of Chinese suppliers

In China,not all the factories or trade companies have the right or qualifications to do business with the overseas partners directly. On the one hand,some small factories or trade companies do not have their own Export License,they have to work with a qualified export agent to 'sell'their items. So legally a qualified exporter or export agent is your direct business partner in such cases. On the other hand,each exporter has their own business business scope, no exporter can export anything whatever you need, some items need special export quota or licenses from the government. If your order is small, you can try to verify their business license and export qualifications with local officials or verify them via a local expert in China like STIN. If your order is large enough, then an on-site third-party factory or supplier inspection service is very important to stop you from future trouble before you place any orders.


Communication with the suppliers

The most important skill you can learn is negotiation. Haggling over the price, minimum order quantity and other terms of your order is far more common in China, and if you're willing to drive a hard bargain you can make real savings from original quote.

Chinese manufacturers usually work on thin margins and quality does have a price, so don't get obsessed with chasing the cheapest price. Equally, you need to be realistic in your order estimates so they can work out exactly what they need to charge to avoid losing money.

Ideally, you would communicate in the same language; hiring a translator is often a necessary step. However,whenever you communicate, always make sure you send follow-up emails in which you reiterate what has already been agreed and ask them to do the same- this will cut down on the adverse impact of the language barrier.

Of course, you also need to make sure you have a contract drawn up by a legal practitioner or a professional purchasing agent in China who has good knowledge of Chinese trade so the terms are enforceable and comprehensive.

In the event of anything going wrong, it would be ideal to discuss the issue over dinner. But of course, that's unlikely to be an option, so Whatsapp, Wechat or Skype or something similar is the next best thing. Be prepared to wait until the end of the conversation to raise the difficult subject.

Quality control management

If you can visit the factory at least once during production, then do so before the order is shipped. Alternatively, if you'd like to save more time and cost, you can consider hiring a professional QC inspection company or sending a qualified person whom you trust. It may seem like you're wasting time and resources, but it will not be frowned upon in China and is vital to make sure everything is running smoothly.

Either way, you should already have an idea of the kind of quality to expect from the samples you've approved.

Payment and delivery

Paying in instalments and hold some back until the shipment has been delivered - a 30-70 percent split between order and delivery payments is common, but this is negotiable if you want to pay less upfront or increase the number of instalments so that some payment changes hands when the goods are received.

One of the most common arrangements in terms of shipping costs if “FOB Shenzhen”, where the supplier pays to get the goods to the port of Shenzhen and then you take over. But of course, this is up for discussion if you'd prefer different arrangements.

Generally, your main delivery options are by air or sea. Air transport is a better option for small volumes or high values, or even if your products happen to be small and delicate - it's faster and can often reduce the risk of damage. Ocean shipping takes longer but is better for bulky and heavier goods. Using a reputable logistics service is vital, since they'll usually be able to manage the whole process for you.

Take the hassle out of sourcing with the ONE-STOP STIN buying office service.

STIN buying office or purchasing agent service can solve the problems for the clients from the beginning to the end, covering: Selection of qualified suppliers; Payment Risk Control; Quality Control; Shipping and Logistics Support; and even after-sale services etc. By taking the stress out of sourcing your products, you'll save valuable time and resources that you can devote to your business. Find out more about how STIN services could help you here.

Source: Alibaba Forum and STIN service team