Tuesday 18 November 2014

How to Recover and Collect Debt in China

Definitely, it is much better to prevent bad debt in advance instead of collecting international receivables later in a foreign country. You should try your best to investigate the credit status of your trade partners before you sign contracts, deliver goods or make remittance. For some transactions with considerable amount, you had better retain a local business service company to thoroughly check the background, check the quality, arrange shipment, supervise the loading process and even offer afte-sales services etc.

In case unfortunately you suffer bad debt in China, do not hesitate and naively hope the debtor will pay kindly and voluntarily, which will waste you valuable time to effectively collect the debt. Actually, as far as the international debt collection is concerned, the longer the account receivable lasts, the more difficult to successfully collect it. According to the statistics, the success rate of collecting internationally debt which has been overdue for 1 year is no more than 60%; and less than 40% for the debt overdue for 2 years. In addition, the longer the debt last, the debtor will be more reluctant to pay. Possibly it is instinct of human beings. So if you are confronted with bad debt, you should take actions as soon as possible.

Obviously, it is a tough job to collect debt in a foreign country. You need to retain or hire professionals to help you. Please note that in China debt collection agencies are prohibited. You have to retain a local qualified lawyer to help you. In China, most lawyers provide legal services on a basis of flat fee. Usually Chinese lawyers charge a fixed fee in accordance with the regulation issued by judicial and price authorities. Some lawyers who handle international cases charge client for their services on a hourly rate. For comparatively big cases, some Chinese lawyers could handle cases on a contingency fee basis. In China, the contingency feeon a basis of flat fee. Usually Chinese lawyers charge a fixed fee in accordance with the regulation issued by judicial and price authorities. Some lawyers who handle international cases charge client for their services on a hourly rate. For comparatively big cases, some Chinese lawyers could handle cases on a contingency fee basis. In China, the contingency fee (commission) rate should not exceed 30%. 

So taking any legal action will cost you lot of time and money, some clients would like to try Official Assistance first with a Case-Report service from local experts, this service costs you only several hundred USD sometimes.

Compared with other countries, the lawyer fee in China is not cheap. Additionally, the court fee is much higher than that of western countries; the court charge a certain percent of the disputed value. So the creditor should consider the potential lawyer fee and court fee before initiating international commercial litigation. For some small cases, you could entrust a local lawyer to negotiate with the debtor; sometime compromise is necessary, particularly you yourself has faults in the dispute. The foreign creditor could also consider other alternative ways. Say, if the case fact is clear and definite, and the evidence is adequate, you could publicize the case on Internet. Hopefully, the debtor will "voluntarily" pay you taking into account their business reputation. Sure, you should be careful with this measure. Otherwise, you could be liable for slander.

If the debtor committed business scam, you could report the case to Chinese local police and ask them to commence criminal investigation procedure. If the debtor concern their possible criminal liabilities, hopefully, they would "voluntarily" pay you; and the police will wrap up the case as a commercial dispute. If the debtor refuse to pay, they are still obigated to return the goods they cheated and compensate your losses even if they are sentenced to prison.

Should you decide to take legal actions, you need first check whether there is arbitration clauses in the contracts. If there exists an effective arbitration clause, you have to submit the case to the agreed arbitration tribunal; if not, you can file lawsuit against the debtor. The writer strongly recommends you should initiate litigation in China. If you file lawsuit in your own country, even if you get a win judgement, you have to apply to a competent Chinese court for recognition and enforcement, which is inevitably complex and time-consuming. In China, a case will be heard the most by two instances; and the judgement delivered by the appeal court will take effect immediately. If the debtor refuse to perform the effective judgement, you could apply to the trial court (first instance) for enforcement. Generally speaking, an international commercial case could last 1-2 years.

If the case is big enough, the victim should come to China and report the case to local police station and officials in person. Normally they should book a professional Biz Guide service before their departure to China if they'd like to save more time and cost.

Author: Mr. Shen, a professional lawyer from Shanghai

How to prevent bad debt and business scams in China?

The most primary element in preventing bad debts (business scams) is to well know your business partners. You can think about as many questions as you can before you make any decision.
How about their credit reputation?
How about their financial situation?
Do they pay on time? Are they able to pay on time?
Do they have a good bank credit?
Do they continually have real product disputes?
Is there any allegation of their committed fraud available?
Are they untrustworthy traders who carry out some legitimate transactions and then routinely fail to pay until they are sued in courts? Or like some debtors who try to utilize suppliers' goods in order to fund their own business, and only when such suppliers file lawsuits will they then settle a claim and only for a less amount?

Considering the risks to spend considerable money and time to recover international debt in future, you should try your best to check the background of your business partners in advance:
Information on initial company registration.
Form of legal entity's incorporation.
All changes  filed / made in AIC (Administration of Industry & Commerce, company registry in China).
Last registered changes in AIC.
Pending changes that have been filed to AIC.
Legal address (de jure address).
Physical address (de facto address).
Contact phone numbers of the office.
Premises occupied by the company, premises occupied by the branches and warehouses.
*Existing bank accounts, bank details, bank balance as of the day of inquiry (if possible).
Tax bureau to which the company files financial and tax reports.
Previous and pending tax inspections by tax authorities.
Licenses for specific types of activity that has been obtained by the company.
Information on current CEO.
Key persons from management side.
Number of employees.
Charter capital.
Property owned by the company.
Information on every participant/shareholder.
*Main financial results of business according to officially filed balance sheet for the last accounting period.
*Full term-sheet for the last accounting period.
 Main contractors (contracting parties) of the company.
 Business image in this field of business.
 List of court cases both pending and judged.

Obviously  it is far from an easy job for foreigners to check the credit status of Chinese companies, particularly for some transactions with considerable amount, you had better retain a professional auditor to thoroughly investigate.  Actually if your order is small, you can simply ask for a Company Basic Verification and if your order is very big, a Factory Inspection and Auditing Service is very necessary in China. STIN services (www.chinabizservices.com) are recommened as they have worked for more than 2000 clients from over 80 countries and areas on the globe so far.

Sunday 16 November 2014

The Top Copper Ingot Brand and Manufacturer in China

China is one of the largest copper and other non-ferrous metals manufacturer and exporter on the globe. Here are some famous copper mines in China: Dexing (江西德兴), Tongling (安徽铜陵), Daye (湖北大冶), Dahongshan (云南大红山), Zhongtiaoshan (山西中条山), Dongchuan (云南东川易门) etc. Following non-ferrous metal suppliers, esp for copper ingot, have been sourced but not inspected by STIN verification team in China, here is the list for your reference:
1.Jiangxi Copper Group Corporation 
  Product: copper ingot, gold and silver ingot, alloys
  Tel: 0701-3777070

2.Zijin Mining Group Co., Ltd
  Product: gold ingot, copper and silver ingot, zinc ingot, alloys
  Tel: 0597-3833105   

3.Yunnan Copper Group Corporation 
  Product: copper ingot, gold and silver ingot, zinc ingot, alloys
  Tel: 0871- 63175096
 
4.Tongling Nonferrous Metals Group Corporation 
  Product: copper ingot, gold and silver ingot, alloys
  Tel: 0562-5860016  5860000 

5.Hunan Shuikoushan Non-ferrous Group Co., Ltd
  Product: lead ingot, zinc ingot, copper ingot and silver ingot, alloys
  Tel: 0734-7582281

6.Jinchuan Group Co., Ltd
  Product: copper ingot and silver ingot, alloys
  Tel: 0935 - 8811528  

7.Yunan Metallurgical Group
  Product: tin ingot, lead ingot, zinc ingot, copper ingot, alloys
  Tel: 0871-8891800 

8.Jinzhou Copper Industry Co., Ltd
  Product: Copper ingot
  Tel:0750-8663288  

Important Notes: These copper ingot suppliers are well-known for domestic market in China and most of them have NO direct Export License, foreign clients have to work with a qualified export or import agent like STIN (www.chinabizservices.com) in China if they'd like smooth business for such items.  Copyright: STIN SOURCING SERVICE TEAM

Top aluminum ingot brand and manufacturer in China...

Top aluminum ingot brand and manufacturer in China...
China is one of the largest aluminium and other non-ferrous metals manufacturer and exporter on the globe. Several provinces are well-known for aluminium mines in China: Jiangxi, Shanxi, Henan, Guizhou etc. Following aluminum ingot manufacturers have been sourced but not inspected by STIN verification team in China, here is the list for your reference:
1. China Aluminium Group Corporation
Product: Aluminum ingot and aluminum materials etc

2. Southwest Aluminium (Group) Co., Ltd
Product: Aluminum ingot and other alu profiles
Tel: 023-65808556

3.Baotou Aluminum Group Co., Ltd
Product: Aluminum ingot and other alu profiles
Tel: +86-472-6935606

4. Tianjin Hengping Metal Products Co., Ltd
Product: Aluminum ingot and other alu profiles
Tel: 022 -27628815

5.Henan Shengshizhongding Alu Science Development Co., Ltd
Product: Aluminum ingot and other alu profiles
Tel: 0372-7072166

6.Shanxi Guanlv Group Co., Ltd
Product: Aluminum ingot and other alu profiles
Tel: 0359-2503600

7.Henan Changge Huize Metals Co., Ltd
Product: Aluminum ingot and other alu profiles
Tel: 0086-374 6660165

8. Hengfeng County Yongsheng Aluminum Industry Co., Ltd
Product: Aluminum ingot and other alu profiles
Tel: 0793-5665656

9.Qingdao Dapengye Aluminum Co., Ltd
Product: Aluminum ingot and other alu profiles
Tel: 0532-87528048

10.Zhejiang Yuyi Aluminum Industry Co., Ltd
Product: Aluminum ingot and other alu profiles
Tel: 0086-579-87451678

11.Chongqing Shiji Aluminum Industry Co., Ltd
Product: Aluminum ingot and other alu profiles
Tel: 023-61789333/68824656

12. Anhui Guanghua Aluminum Group
Product: Aluminum ingot and other alu profiles
Tel: 400-116-5123

Important Notes: These aluminum ingot suppliers are registered for domestic market only in China and most of them have NO direct Export License, foreign clients have to work with a qualified export or import agent like STIN in China if they'd like smooth business for such items. 
Copyright: STIN SOURCING SERVICE TEAM

Friday 14 November 2014

The Top Silver Ingot Brand and Manufacturer in China

China is one of the largest silver and other non-ferrous metals manufacturer and exporter on the globe. There are five huge silver mines, that is Lengshuikeng (江西冷水坑银矿), Tongbai (南阳市桐柏县桐柏银矿), Fenghuangshan (广西隆安凤凰山银矿), Siping (吉林四平银矿), Pingshang (福建龙岩坪上银矿), Following non-ferrous metal suppliers, esp for silver ingot, have been sourced but not inspected by STIN verification team (www.chinabizservices.com) in China, here is the list for your reference:
1. Henan Yuguang Gold and Lead Co., Ltd
   Product: lead ingot, gold and silver ingot, alloys
   Tel: 0391- 6699888

2. Jiangxi Copper Group Corporation 
   Product: copper ingot, gold and silver ingot, alloys
   Tel: 0701-3777070
  
3. Yunnan Copper Group Corporation 
   Product: copper ingot, gold and silver ingot, zinc ingot, alloys
   Tel: 0871- 63175096
  
4. Tongling Nonferrous Metals Group Corporation 
   Product: copper ingot, gold and silver ingot, alloys
   Tel: 0562-5860016  5860000 
 
5  Jiyuan Jinli Smelter Co., Ltd
   Product: lead ingot, zinc ingot, gold and silver ingot, alloys
  Tel: 0391-6891293
  Website: www.jyjl.com

6. Hunan Shuikoushan Non-ferrous Group Co., Ltd
   Product: lead ingot, zinc ingot, copper ingot and silver ingot, alloys
   Tel: 0734-7582281
  
7. Hunan Yuteng Non-ferrous Metals Co., Ltd
   Product: lead ingot, sulphuric acid , gold and silver ingot, alloys
   Tel: 0735 -2791358

8. Yunnan Hongchi Xinzhe Holding Co., Ltd
   Product: lead ingot, zinc ingot, silver ingot, alloys
   Tel: 0874-8966752

9. Zhuzhou Smelter Group Co., Ltd
   Product: lead ingot, zinc ingot, silver ingot, alloys
   Tel: 0731-28391215

10. Henan Yuguang Gold and Lead Co., Ltd
    Product: lead ingot, gold and silver ingot, alloys
    Tel: 0391- 6699888

11. Zijin Mining Group Co., Ltd
    Product: gold ingot, copper and silver ingot, zinc ingot, alloys
    Tel: 0597-3833105  
  
12.Hechi Nanfang Non-ferrous Co., Ltd
   Product: lead ingot, sulphuric acid , gold and silver ingot, alloys
   Tel: 0778 -2290206

13.Shandong Zhaojin Group
   Product: gold and silver ingot, alloys
   Tel: 0535-8227500 

14.  China Tin Group Co., Ltd
    Product: tin ingot, lead ingot, silver ingot, zinc ingot, alloys
    Tel: 0772-2619220   2619221
   
Important Notes: These silver ingot suppliers are well-known for domestic market in China and most of them have NO direct Export License, foreign clients have to work with a qualified export or import agent like STIN (www.chinabizservices.com) in China if they'd like smooth business for such items. 
Copyright: STIN SOURCING SERVICE TEAM (www.chinabizservices.com )

Monday 3 November 2014

The top tin ingot brand and manufacturer in China..

China is one of the largest tin and other non-ferrous metals manufacturer and exporter on the globe. The manufacturing base for tin ingot is from Yunnan and Guangxi. Yunan Gejiu and Guangxi Dachang account for 40% of China market. There are too many‘fake’suppliers and manufacturers online. Following non-ferrous metal suppliers, esp for tin ingot, have been sourced but not inspected by STIN verification team in China, here is the list for your reference:

1. Yunnan Tin Group ( The largest tin ingot producer on the globe )
  Product: tin ingot, lead ingot, antonimy ingot, zinc ingot, alloys etc
  Tel: 0873- 3116262 0871-6287201 6287202

2. China Tin Group Co., Ltd
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel: 0772-2619220   2619221
 
3.Yunnan Chengfeng Non-ferrous Metals Co., Ltd
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel: 0871 - 63200102

4.Gejiu Zili Smeltering Co., Ltd
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel: 0873 - 2212429

5.Gejiu Baiye Minerals Processing Factory
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel: 0873-2216051
 
6.Gejiu Datun Non-ferrous Metals Co., Ltd
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel: 0873-2842823

7.Guangxi Zhongshan Gold Bell Smeltering Co., Ltd
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel: 0774-8980015

8.Guangxi Pinggui Feidie Holdings Co., Ltd
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel: 0774-8831132

9.Chenzhou Yunxiang Ore Smelting Co., Ltd.
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel:0735-3236784

10.Mengzi Mining and Metallurgy Co., Ltd.
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel: 0873-3720179

11.Guangzhou Smelter
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel: 020-82219074

12. Yunan Metallurgical Group
  Product: tin ingot, lead ingot, zinc ingot, alloys
  Tel: 0871-8891800

Important Notes: These tin ingot suppliers are for domestic markets in China as most of them have NO direct Export License, foreign clients have to work with a qualified export or import agent like CHINA STIN if they'd like smooth business for such items. All the non-ferrous metals are state-controlled business in China.

Copyright: STIN SOURCING SERVICE TEAM