Six points to settle before placing an order

When sourcing from China, the costliest surprises usually arise not during production but from ambiguities that were never discussed beforehand. The six points below are short, but settling them before the order closes off most later disputes.

1. Which delivery term does the price refer to?

Two prices for the same product are not comparable if the delivery term and port differ. The quotation must state the delivery term together with the port name.

2. What deviation is acceptable?

If nothing is written about how much deviation in dimensions, weight and quantity counts as normal, the gap between what arrives and what was expected becomes a matter of dispute. Putting a number on it is easier than arguing later.

3. Who pays for tooling, and who owns it?

Paying for the tooling does not mean owning it. Ownership, and whether the tooling will be released on request, is a separate clause. It becomes decisive the moment changing supplier is on the table.

4. What triggers payment?

“Thirty per cent in advance, balance before shipment” is not enough on its own. What exactly the balance is tied to — approval of an inspection report, or the loading date — must be in writing.

5. Which sample is the reference?

“Shall conform to the approved sample” only works if it is clear which sample is meant. Record the date and photographs of the approved sample and, where possible, keep one unit on the buyer’s side.

6. What happens if there is a delay?

Penalty clauses are not achievable in every relationship. But once it is written how a delay must be notified and after what period the order may be cancelled, both sides have a clear path to follow.

None of these points requires hard bargaining. Raised before the order, they clarify matters for the supplier too; raised afterwards, they read as a request for concessions. Timing is what makes the difference.