fJJ1 independent testing duties I'll need to pay on my new labs? - PDF document

AlIRl&htrR~ed "'1'MS~"(sw {C)lIJ09-2tl13~ Alruahtl~ EGT GLOBAL TRADING Sourcing Your Invention in P.o. Box 5660, Hlllaborough, NJ OfI844.USA Phon. 8e321-23U I EGTfNIgIoblltndlng.com .... I ... : www.egtqlobaltradlng.com EdltIao.'l'oI_ facts and FAQsl 1M Edllh G. ToIchin "Invented" EGT GIcMI Tlllding In 1997, wttI! I goal to Ink U.s. Inwnto .. willi AsIan mlnufactu ..... plOYldlng product safely. The Who, What, When, sourcing, quillty control. mlnufacturlng. International financing, Ilrio_n shipping. Ind _ms cle ... nce Irrangements for inventions Where, and How of: oftaxtl'" Ind __ 11--' bags, b.by .nd fashion Icceaortes, unlq .. * International Sourcing • rIe & crafts Items. Edle llegen her ca .... 1n import and Internltlonll trada In the 711&, fresh out of NYU, willi • NYC Importer of froHn fish and * Manufacturing in Asia blcyc .... She has worked wHh -.llrge.nd amaH Importarw, handling commodities from Silted nuts to chemlcaJa and 'III ..... , to _ring * Shipping Options appal'lll and toys. Ma. Tolchln holdl. U.s. CUIIoma Broker U_, and has * Freight & Customs ._alva ... pa .... nce wHh U.s. Cuatoma and Custom. BroI<erw In VlrlOUS products and i ..... , Including binding rullnga, duty..-m Ind the Board of 01_ .. d.-blc .... She Is In Officer Emarflua of of the Clearance United 1_ AIIocllllon and I Contrtbutlng EdItor for Inventors Dlgeat m.gazl .... (C) 2OIJ9..2tJ13: EGT 0I0tlei TI'tdiq- (C)2009-20t3: EO! 0l0b.I TrWat- All Ripts Rcsorved What is the best way to How do I "screen" the begin the sourcing prospective process? manufacturers? 1) Product Design Evaluation with a CPSC- 1) Ask for references of American firms they have accredited safety lab. worked with. 2) At least 5 identical prototype samples. if available. 2) Ask for USA brand names. 3) Product literature. specifications. measurements, 3) Ease and mastery of communicating in English. components list. drawings. special features. 4) How promptly do they reply to e­mails? 4) Product Introduction Letter in proper form. 5) Knowing someone who has already used the 5) Translate important documents into Chinese factory for production. EGi GIobII Tndiut- {C) 2i009-2013: EGT QlobI;t TradiD,. All Rilhta Rosorved All Rlpr.R.c.<Jeryed Willi receive counter- Will there be a samples? communication problem? • Say "NOI" to NO counter­sampiesl All reputable sources will make counter­samples • English is the major business language in Asia. (UNLESS) molds are • Factory may need translation on rare occasion. Involved • With molds, ask to see • Try to communicate with only one person at sample of product factory level (who has the best command of similar to yours to judge quality & English). workmanship (C);.XJ(I9.2013: EOTOlobil Tradi.- (C) 2001H1H3: EGTOIob.l Tndina- All Rijhn Jlesemd 1

(.,.,p~cv _~ ~'L- A1IRiahta~ Is it true that there are "sweatshops" How do I negotiate overseas with poor working pricing? conditions? $ Learn "'ncoterms" = international • Most are modern (only shipping terms ("FOB", "CIF," etc.) few In more remote areaa lack convanlencaa,. $ Shipping terms determine who is • UN pre.craanad factoty responsible for air or ocean freight cloear to bordare for and Insurance ­ also Indicates when ethical buslnaas you take possession of the order. practlcaa. $ "CIP' (Cost, Insurance, Freight) • Moat factories are well lit, terms usually easier for Initial, standard 6 day work- smaller orders=:unlt cost Slightly week, donn.tyle housing higher near factDriea. (C) 2flOI)..2011: EOT GloW T_III" (C) 2009·2013: EOT Got.! 'fnsd.IQa· AJI Riehb R_rnd VVhatabout How do I find how much in import fJJ1 independent testing duties I'll need to pay on my new labs? product? extreme liability such as m& chlldran'. u.s CusToms. Border Proter­rion • Producta of goods, top, many conaumer goocla,­PSIA producta. ,,(/'fln1l mn 1'1'-1'. '.I'IIV 1'''1 r,"'nJrllTr-' • 1!igin WIth Dillgn Evaluation .. thorough analpla of your Invention for flaws, "red flaga," dealgn defactll - • Use "Harmonized Tariff System of the USA" auggeatlons for enhancementa, recommended production (Customs' guidebook for product teate. classification). if you are experienced, to • Llat of CPSIA regulatlona • Check for compliance with various government agenelea' determine import duties. regulations, Ineludlng proper labeling and marking. • If no experience, get a BINDING RULINGI • AIIlan aource MUST conaant to work with lab. {C)2009­20ll:EGTGlobIlTIIJdiq- (C) 2OQ9.20t3: EGT OIot.! T_ ... 10 All Risbts RuJrvod Ail K.iahf.J;Rcsefyod What information do I How do I pay for my include on my Purchase order? Order? • Letter of Credit (better • Buyer/eeller info, quantities, (previously negotiated) for large quantity orders),or Wire Transfer prices, proper shipping ternul (WHO is paying for (most common) freight & insurance?), productionlCPSIA testing. • 30% down payment, • Specifications, product description, components, 70% balance paid after labeling, carton marks, packaging info, testing production, with ISF requirements, international shipping requirements. document (Import • Work closely with your international trade consUltant to Security Filing) and shipping document as assure compliance with government regulations and proof standards. MORE INFO IS BETTERI _ _ (C) 2009­2013: £OT Olot..l TnrdI.,. (C) 2009·2013: EOTOIoWTnsd.i:I.... 12 II NI R.iahI1Rcscn'od AJiruBhtl:RcIMrvod 2

AlI~ReIOIY«t -' My order is U-'- What about Quality Control? ready to ship .... What's next? • Independent Testing Labs: • Determine who will arrange shipment (depending on .. Design Review shipping terms (FOB, CIF, etc.) .. Production Testing • Arrange ISF (Import Securfty Filing) AT LEAST 24 hour • Pre­production and "­­..:0,. PRIOR to vessel loading. Mass­Production • Customs Broker or Consultant should revl_ all sampling International shipping documentation. • Hire an Inspection • Arrange for ORIGINAL documentation to reach Customs Services Firm for Final Broker on time, for customs clearance. Shipment Inspection • Determine final Inland delivery destination. (C)2OOI).20U: EOT OkIbil TtwIint- 14 (C) 2009-2013: EGTGlohll Tnwlioe- 13 All R.iPU RUIlIYod ••••• Suggested links: Nine Questions to 'lsk 'l 1) Customs & Border Protection (CBP): www.cbp.goY Prospective Chin'l (info on Importing into the USA) 2) Federal Trade Commission: www.ftc.gOY (info on labeling of textile and sewn items) M'l n u{qcturer ......... .. 3) Consumer Product Safety Commission: www.cQSC.gov ••••• (info on product safety, CPSIA and recalls) 4) For inspections in China: www.chinainspecLcom 5) For worldwide color standards: www.pantone.com ,. (C}:2009-2013: EGT Vlobll Trsdit!t- (e) 2016-2DlJ by EOT GIobU TracliJ:Ia: AU RiPfs Rmc:l'Yod All R.i&bbRectV«l Question #2 I Question #1: Can you provide Can you provide references of USA buyers who have recommendations of purchased from your proposed alternate company? materials? .. (C}2010-2DUbyEOTGk:It.I 11 Ie) 2010.2013 by WT OIobU Tf*dina: All Rigblll R~ Ttadillf: All Rights RIJIIiOMId 3

{C)2(l).20HbyEGT~ ~ .tt.l; ()uesfltHI #3: Can you please give me a Ouestion #4 : list of holidays when your factory will be closed for the What is your delivery current year? lead time? 2. (C)20tD-2011 by EGTOlobd (C)20IO-20ll by EOT Olebel '9 Tradina; All RiJhta Jlcar¥ed Tmdida: All Rip. Jluetvod Question #~: Ouestion #5: What policies do you Do you work with a China have in place for freight forwarder who replacement of defective could arrange our merchandise? shipment? (C) 201Q..2013 by Em' <HobII " T:radi.· AlIRialrtwR.elerved TT1Iditt: AU RlskB Racrved Ouest/on #7: Question #8: Are you willing to cooperate What are your MOQs with the Asian affiliate of our (minimum order appointed CPSC-accredited quantities)? safety I testing lab? (C)2il10-2013 by EOT 0l0bII 2l (C) 2iHOw2QIl by BOT!:lIot.J Tl'Mli'£ll: At! RiaJrta Ruervod Trading: All Rigbu Rcten'«I 4

~ ~"'IiI~ ~ 4~:E= 1) www.inventorsdlgeslCO/D- • '. . . .. ~ J Inventors Digest Magazine 2) WWW.CDIC.gov ­ Consumer Product Safety Duelt/tln #9: Commission 3) www.ulausa.ora ­ United Inventors Association Do you work with a 4) www.fIta.ora ­ Federation of International Trade Associations translator? 5) www.ncbfaa.org ­ National CUltoms Brokers & Forwarders Association of America, Inc. ,. (C) lOu)·20U by £GT Glcbll (C)lOlQ.2013 by EOTGiobd Tntdi",: Ail Ri8irtt l~cd Tt1Idi.,.; All lti.Jbb RcImYod Th'tnk you for'ttten(ling 50UIltiNG to£!'ty's ptesent'ttion! SMARTS JNYI!iNIOS'S CWB SPECIAl,,; 'tn£! best of luck in your $20.00 !gdgdin. "", ••• 8.II.tI CHUlA Chin't soutcing 'tn£! m'tnufactuting ventute! (C)2tJ09.-2013:EGTGlobllTItldiDf' 27 " (e) 21)1<.2013 '" rot 0I000l All .............. TradiQl: AJI Riabtl RlIIm'ed 5