Exporting From China

Exporting From China

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Have you ever thought about exporting from China into Australia? It might be the best business decision you ever make. China has significant long-term potential for foreign traders, thanks to cheap manufacturing costs, good-quality produce and an impressive variety of items produced. Profit margins are often high, with resale prices in Australia sometimes ten times what you paid for them. There are hundreds of Australian companies currently bringing Chinese goods into this country, many of them using freight forwarding companies such as TSL.

Trade Between Australia And China

Australia imported AU$75 billion worth of manufactured goods from China in 2018. Top imports that year were telecommunications equipment, computers, homeware, prams, toys, games and sports equipment. You can find out more about Australia’s trading relationship with China, and the latest figures, in this report by Australia’s Department of Foreign Affairs and Trade. This market profile for China from the Australian Trade and Investment Commission (Austrade) also has a lot of useful information.

Sea Freight From China

Are you wanting to transport your goods into Australia using the cheapest method possible? Transporting consignments as sea freight from China is the best-value way of transferring items the 7,500 miles or so between Australia and this East Asian nation. Sea cargo typically takes between 12 and 30 days to reach Australia from China and is ideal if the items you’re exporting from China are heavy or bulky. The estimated transit times for sea freight from China are as follows:
North China: 18-30 days
South China: 12-18 days
East China: 12-18 days

Air Freight From China

Shipping goods on an aeroplane is naturally much quicker than sending them as sea freight from China, and typically takes between one and five days. It is, however, more expensive than sending the goods via the ocean. The total time taken will depend on a number of factors, such as where your pick-up and delivery points are, and how much inland transportation is required in each country.

Import Customs From China

The ChAFTA (China-Australia Free Trade Agreement) came into force in 2015. It has provided huge opportunities for exporting from China to Australia. This trade deal means that some customs charges have been eliminated completely for products being brought in from China.
To discover what to expect in terms of import customs from China to Australia, you can use the Australian Government’s Free Trade Agreement Portal. With this handy tool, all you need to do is enter your item into a search engine, along with the planned country of import and export. You’ll then be shown a list, enabling you to select a category for your item. Your item’s HS code, and the import tariff you will pay when your goods arrive into Australia, will then be shown.

What Other Charges Will There Be?

As well as the above, anyone exporting from China (or from any other country) to Australia is required to pay GST (goods and services tax). This was set at a rate of 10% at the time of writing. Other taxes may apply, such as for wine and luxury cars exports. To know more about exemption, see the Australian Border Force website – or get in touch with TSL to discuss your needs with our freight forwarding experts.

TSL’s Quick Tips For Doing Business In China

  • Digital communication is very important for carrying out business in China. WeChat is the main platform, with over 1 billion users.
  • The Chinese Yuan is expressed in two ways: CNH and CNY. CNH is used to refer to trade on the offshore market, so outside of mainland China. This is the acronym you will be working with as an Australian exporter of Chinese goods.
  • It takes a while to build up a business relationship with the Chinese. To get started, using a neutral go-between is a good idea.
  • When sourcing suppliers in China, websites such as made-in-china.com, Joybuy and Ali Baba can be useful. It’s always recommended to request a sample and have it independently assessed before proceeding with a larger order.

A Bit About TSL…

Freight forwarding is the foundation of TSL’s business and the area in which we excel. We are here to help with exports and imports, transportation by sea, air and road, customs clearance, warehousing and anything else you may need.

Can TSL Help With…

…Packing? Yes!          
…Distribution?  Yes!       
…Inland transport?   Yes!     
…Imports?   Yes!         
…Exports? Yes!         
…First-time customer care?  Yes!  
…Customs brokerage?  Yes!    
…Storage? Yes!         
…Freight forwarding? Yes!     
…Third-party logistics? Yes!    

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