How should you structure supplier payment for China imports?
Split payments—such as 30% deposit and 70% after inspection—reduce risk compared with 100% advance to an unverified supplier.
The safest approach is split payment milestones—typically 30% deposit and 70% after inspection or against BL copy—rather than 100% advance to an unverified supplier.
Common structures for China sourcing: • 30% deposit / 70% before shipment (after inspection) • 30% / 70% against BL copy • Escrow or trade-assurance style holds for new suppliers • Letters of credit for larger banked transactions
Tie the balance release to quality inspection results and, where needed, PVoC readiness. Never wire 100% advance to an unverified beneficiary whose company name does not match the licence and bank account.
AMG can support verification, inspection, and payment sequencing alongside logistics so money and cargo move on the same plan.