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Learn insider tips on getting the best deals for auto, ATV & motorcycle spare parts in China
Looking for Auto, motorcycle or ATV spare parts?
Chinese suppliers might have exactly what you’re looking for. While this is a product that can be purchased both from manufacturers and “off shelf” from Trading Companies, the industry is infested with unscrupulous and disorganized suppliers. In this article we look into the do’s and dont’s when buying vehicle spare parts from China.
Chinese suppliers might have exactly what you’re looking for. While this is a product that can be purchased both from manufacturers and “off shelf” from Trading Companies, the industry is infested with unscrupulous and disorganized suppliers. In this article we look into the do’s and dont’s when buying vehicle spare parts from China.
Buying from a manufacturer
Buying directly from the manufacturer comes with some obvious benefits. The product selection is wider (I explain why in a minute) and the prices are lower due to the lack of middlemen. However, it’s not viable for most small businesses importing vehicle spare parts from China. The reason is spelled “MOQ”, or “Minimum Order Quantity” Requirement.
A supplier must produce a certain minimum quantity of a product in order to make the production run viable. This “minimum quantity” tends to be 300 – 500 pieces for each part. Assuming that you wish to offer a wide range of different parts, the required investment can skyrocket to several millions of dollars if you would buy every single spare part directly from a manufacturer. However, there are other ways to do this.
Advantages when buying spare parts directly from a Manufacturer
- Lower prices
- Product certification compliance (when required)
- Full product availability
- Disadvantages when buying spare parts directly from a Manufacturer
- High MOQ requirements (300 – 500 pcs per part)
Buying from a Trading Company
While it’s in general not possible to find “off shelf” products in China, vehicle spare parts can be purchased “off shelf” from Trading Companies. A Trading Company offers smaller volumes compared to manufacturers. Sometimes the MOQ requirement is as low as 5 to 10 pcs per spare part model. However, these Trading Companies are not working for free. The prices are often two to three times as high compared to if you would’ve purchased the spare parts directly from the manufacturer.
But that’s not where your trouble ends. I’ve had my fair share of dealing with auto, motorcycle and ATV spare part traders in China and it’s been far from pleasant in most cases. The main problem is that they are in general very disorganized. While the Trading Companies may have product catalogues, far from all are in stock at any given time. Basically, you get to buy the parts that are available. This can cause major disruptions in your supply chain and it can take months before you’re able to restock on certain spare parts.
While it would be fair to assume that a Trading Company should be able to deliver spare parts faster than a manufacturer (well, the parts have to be manufactured before they are delivered, right?) – it’s often the opposite Trading Companies often purchase spare parts from other traders. In most cases it takes at least a month before the Trading Company has gathered all the ordered parts.
Advantages with buying spare parts from a Trading Company
Fredrik works for Frontier's content partner, ChinaImportal - an e-commerce platform that assists businesses looking to import products from China.
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