What to do when you receive Poor Quality Products from China

China is one of the most popular places for international businesses to source products from, and for good reason. Products are much cheaper to manufacture there than in many other countries. However, those low prices come with risk and, sometimes, with poor quality products from China. Western business owners who are unfamiliar with China can find themselves getting fleeced by unscrupulous ‘suppliers’.

Here at Easy Imex, we always caution buyers to do deep research into suppliers before making any large purchases. However, we understand that mistakes do happen.

That’s why in this article, we’re going to cover a few burning questions. What can you do to avoid getting ripped off by Chinese suppliers? Do you have any recourse against dodgy suppliers? And once you’ve been ripped off, how can you mitigate the damage?

How can I get my money back if i receive poor quality products from China?

In an ideal world, suppliers would take full responsibility for sending out poor quality products from China. Then, they would offer to refund the goods and send out replacements free of charge. We don’t live in an ideal world, but there are ways to try to claim back the money that you lost. Let’s take a look at some of the options.

Complaining to the supplier

In most cases, this should be your first course of action. If you have a long-standing relationship with the supplier, complaining about the quality of the products may be enough to get the issue resolved. Most chinese suppliers won’t want to lose out on repeat business with a loyal customer. In this case, the supplier may be willing to replace the products for free or offer a refund without much pushback.

Trade assurance schemes

If your products were purchased through an online platform such as Alibaba or Made in China, you may be in luck. When buyers purchase through Alibaba they have the option to sign up for their ‘trade assurance’ scheme. Under this scheme, buyers can get their money back if products are delayed or below the agreed-upon quality.

Meanwhile, Made in China offers a ‘Secured Trading Service’. When you buy a product under this scheme, you will be eligible for a refund for up to 30 days after you receive the products, provided there were issues with the products or their delivery.

In these cases, you may be able to get your money back. However, you will need to wait a while for the platform to conduct their own investigation and then process the refund. It is also worth noting that sometimes these platforms rule in favour of the seller. Alibaba in particular has been accused of being biased towards sellers in disputes.

Arbitration

Suppliers are not always willing or able to replace products free of charge. However, it may still be possible to negotiate. For example, the supplier may be willing to replace the goods, but not cover the cost of shipping. Or, you may be offered a discount on future orders to offset the loss. You will need to decide for yourself whether it is worthwhile to accept such arrangements.

Chargebacks

If other approaches have failed, consider requesting a chargeback through your bank. A chargeback is when you dispute a payment with your bank, on grounds such as fraud or not receiving the promised item. If the bank considers your case valid, they will authorise a ‘chargeback’, i.e. they will take back the funds from the business you paid and return them to your account.

Please note that if you purchased from an online platform such as Alibaba, initiating chargebacks may result in your account being banned.

Litigation

Litigating against the supplier is always an option. However, it might not be worth the time and money required to do so. Litigating against the supplier is a slow and expensive process, and it is further complicated by the fact that China does not enforce judgements made in foreign courts. This means that all legal proceedings must take place in China.

Whether this option is worthwhile will depend on a few factors. Namely, the value of the consignments, the straightforwardness of the case, and how responsive the supplier is being to your attempts at resolving the issue.

To have a chance at resolving the issue via litigation, a few things need to be true:

• Your contract clearly outlines the expected quality of the delivered goods
• You paid the seller directly and have evidence that proves it
• The supplier has assets that can be seized, in the same jurisdiction that the contract covers

Generally, if it is possible to resolve the issue outside of court, it is better to do so.

How can I salvage the products?

Sometimes, poor quality products from China can be returned to a sellable quality. This depends on exactly what is wrong with the products. Some superficial problems, such as poor quality packaging can potentially be addressed for less than the cost of replacing the entire item. Other issues, such as incorrect dimensions, or parts that don’t fit together may also be fixable with further manufacturing in China. However, when products are heavily damaged, or made of poor quality materials there is very little that can be done.

How can I replace the products quickly?

If you are working with a supplier that you have a good relationship with, they should be willing to put right the mistake by replacing the products ASAP. If you have been scammed by a disreputable supplier, the situation is trickier. You will need to find a new supplier, and possibly pay extra for fast turnaround and express shipping.

Aside from litigation, do I have any recourse against the supplier?

Yes, you can still take action against the supplier by threatening their reputation. This won’t win back your money or time, but it may make the supplier think twice about disappointing their buyers in future.

Social Media

Consider calling out dodgy suppliers on Facebook, Reddit, X, Weibo and any online forums where international buyers congregate. You may feel like you are shouting into the void, but many people will at least google a supplier before purchasing from them. Your review may prevent another buyer from falling into the same trap.

Supplierblacklist.com

Supplierblacklist.com was founded in 2012 by a group of international buyers who were tired of being burned by poor suppliers. The site allows users to share their experiences with suppliers, and add them to the site’s publicly available ‘blacklist’. This is another great way to warn others off of an unscrupulous supplier.

How can I avoid receiving poor quality products from China?

The quality of Chinese products ranges from poor quality profucts to excellent, and it is not always easy to tell which you are going to get. The best way to avoid receiving poor quality products from China is to choose your supplier very carefully. We always recommend checking the supplier’s documentation, seeking references from previous clients, and ideally, visiting the factory yourself.

Alternatively, you can work with a sourcing company, such as Easy Imex. Sourcing companies have extensive contacts throughout China, and can connect you with a great quality supplier for a reasonable fee. Sourcing companies can also handle logistics and shipping, freeing up more of your time to focus on other aspects of your business.