Import from China: Complete Guide

Products importing from China is one of the most popular ways for Dutch entrepreneurs to build a profitable assortment. Whether you buy via Alibaba or work directly with Chinese manufacturers, understanding the entire import process is essential. In this comprehensive guide, we'll take you step by step through everything you need to know about importing from China - from finding suppliers to Incoterms, import duties, BTW, quality control, and shipping.

Why importing from China is popular

China has been the world's largest exporter for years. For Dutch entrepreneurs selling via bol.com importing from China offers significant benefits. Production costs are significantly lower than in Europe, there's a huge diversity of products available, and manufacturers are used to working with international buyers. Additionally, it's possible to have products manufactured under your own brand (private label), which helps you differentiate yourself from competitors.

Step 1: Finding suppliers in China

Finding reliable suppliers is the first and most important step in importing from China. There are several channels to find Chinese suppliers:

Online platforms

The most well-known platforms are Alibaba, 1688.com (the Chinese version of Alibaba, with lower prices but in Chinese), and Global Sources. On these platforms, you can compare thousands of manufacturers, request quotes, and view reviews from other buyers. When selecting, pay attention to the Trade Assurance badge, the number of years the supplier has been active, and their response time.

Trade fairs and exhibitions

The Canton Fair in Guangzhou is the world's largest trade fair and takes place twice a year. Here, you can physically view products, negotiate, and build direct relationships with manufacturers. Other relevant fairs include the Hong Kong Electronics Fair and the Yiwu International Commodities Fair.

Sourcing agents

A local sourcing agent can significantly simplify the process. They speak the language, know the market, and can arrange factory visits for you. This is especially valuable if you're buying large volumes or have specific quality requirements.

Step 2: Understanding Incoterms when importing from China

Incoterms (International Commercial Terms) are international trade terms that determine who is responsible for transportation, insurance, and customs formalities. When importing from China, it's crucial to agree on the right Incoterm with your supplier.

The most important Incoterms for importing from China

There are 11 official Incoterms (version 2020), but when importing from China, these five are the most relevant:

• EXW (Ex Works) - The seller makes the goods available in their factory. You arrange everything: pickup, transportation, insurance, customs, and import duties. Maximum control, but also maximum responsibility.
• FOB (Free On Board) - The most commonly used Incoterm for importing from China. The seller delivers the goods on board the ship in the Chinese port. From that moment on, you are responsible for transportation and insurance.
• CIF (Cost, Insurance and Freight) - The seller arranges and pays for transportation and insurance to the destination port. Convenient for beginners, but you have less control over shipping costs.
• DDP (Delivered Duty Paid) - The seller takes all responsibility, including import duties and BTW. The most expensive option, but the least risk for you.
• DAP (Delivered At Place) - The seller delivers to an agreed address, but you pay the import duties and BTW upon arrival.

Which Incoterm to choose?

For beginners, FOB is the best choice: your supplier handles the Chinese export formalities, and you choose your own forwarder for sea freight. With larger volumes and more experience, you can consider buying on an EXW basis for maximum cost control.

Step 3: Import duties and customs

When importing from China you pay import duties based on the TARIC code (Integrated Tariff of the European Communities) of your product. The height of the import duties varies per product category and can range from 0% to over 15%.

How import duties are calculated

Import duties are calculated over the customs value: this is the purchase price plus transportation costs to the EU border. Check our extensive guide on import duties when importing from China for specific rates per product category.

• Shipments up to €150 (excluding transportation) are exempt from import duties - but not from BTW
• The exemption does not apply to alcohol, perfume, tobacco, and tobacco products
• Anti-dumping duties may apply to certain Chinese products (e.g. certain steel types, solar panels, ceramic tiles)

Step 4: BTW when importing from China

In addition to import duties, you also pay import BTW when importing from China to the Netherlands. The standard VAT rate is 21%, calculated over the customs value plus import duties. Read more about the specific VAT rules when importing from China.

Calculation example

Let's say you import a batch of products from China for €5,000. The shipping costs to Rotterdam are €800. The customs value is then €5,800. With an import duty rate of 6%, you pay €348 in import duties. The import VAT (21%) is calculated over €5,800 + €348 = €6,148, so you pay €1,291.08 in VAT. The total import costs are therefore €7,439.08.

Article 23 permit

With an Article 23 permit (deferment arrangement), you don't have to pay the import VAT directly to customs. Instead, you defer the VAT to your regular VAT return, giving you a cash flow advantage. This is highly recommended for entrepreneurs who regularly import from China.

Step 5: Quality control and product inspection

One of the biggest risks when importing from China is that the received products do not meet your expectations. Professional quality control is therefore essential:

Types of inspections

• Pre-production inspection - Inspection of raw materials and components before production begins
• During Production Inspection (DUPRO) - Inspection halfway through production to detect problems early
• Pre-Shipment Inspection (PSI) - The most important inspection: inspection of the final product before it is shipped. Standard is 10-15% of the order randomly checked (AQL method)
• Container Loading Inspection - Inspection during container loading to prevent damage and swapping

Companies like SGS, Bureau Veritas, and QIMA offer professional inspections in Chinese factories, with prices starting from around €250-350 per inspection day.

Step 6: CE marking and product safety

Products you import from China and sell within the EU must comply with European laws and regulations. For many product categories, a CE marking is mandatory. Note: the Chinese Export logo looks like the CE logo but has a different meaning. Check out our guide on the difference between CE and Chinese Export.

• Electronic devices must comply with the EMC directive and the LVD directive
• Toys must comply with the EN 71 standard
• Cosmetics fall under the EU Cosmetics Regulation
• Food contact materials must comply with Regulation (EC) No 1935/2004

As an importer, you are responsible for the conformity of your products. Fines for non-compliance can run into tens of thousands of euros, and the NVWA can remove products from the market.

Step 7: Shipping and logistics

Shipping from China to the Netherlands can be done through various methods. The choice depends on the volume, weight, urgency, and your budget:

An experienced freight forwarder can help you choose the best shipping option and take care of customs clearance in the Netherlands. Always compare multiple quotes and ask for an all-in price including customs clearance.

Common mistakes when importing from China

Based on the experiences of hundreds of Dutch entrepreneurs, these are the most common mistakes when importing from China:

• Not ordering samples - Always order samples before placing a large order. The costs are minimal compared to a failed bulk order.
• Selecting based on price only - The cheapest supplier rarely delivers the best quality. Compare based on price, quality, communication, and reliability.
• Ignoring CE marking - Many beginners forget that they are responsible for product safety and certification as an importer.
• No written agreements - Record everything in a purchase order or contract: specifications, quality requirements, delivery time, payment terms, and Incoterm.
• Ordering too much too quickly - Start with a MOQ (Minimum Order Quantity) order to test the supplier and the product before scaling up.

Tips for bol.com sellers who import from China

If you import products from China to sell on bol.com, there are extra points to consider:

• Use the Zoloo Product Tracker to analyze which products sell well before selecting a product
• Check with the Product Database if there are already many competitors in your chosen niche
• Calculate your margins in advance with the Winstcalculator - take into account import duties, BTW, bol.com commission, and shipping costs
• Consider Logistiek via bol.com (LVB) for faster delivery and a better shopping experience
• Ensure a professional product listing with good photos and descriptions

Frequently asked questions about importing from China

How much does it cost to start importing from China?

You can start with a budget of €1.000-2.000 for a first small order via air freight. For sea freight and larger volumes, you'll quickly need €3.000-5.000, including product costs, shipping, customs duties, and BTW.

Do I need a KvK registration to import from China?

Yes, to import commercially, you need a KvK registration and an EORI number. You can apply for the EORI number at the customs office and it's required for all import and export transactions within the EU.

How do I protect my product from counterfeiting?

Consider registering your brand with the BOIP (Benelux-Bureau voor de Intellectuele Eigendom). Additionally, you can have your supplier sign an NDA (non-disclosure agreement) and register your product design.

What is the average delivery time for sea freight?

The average delivery time for sea freight from China to Rotterdam is 30-40 days. Also, take into account 5-10 working days for production (after payment) and 3-5 working days for customs clearance in the Netherlands.