Need advice on the best way of exporting

Discussion in 'International Business' started by Biohyt, Jun 29, 2019.

  1. Biohyt

    Biohyt UKBF Newcomer Free Member

    26 0
    Hello !

    I have an established business in the uk, and I will export items to china. However, my products will be made in another non-eu country (the manufacturer will put my brand name etc on the items). So when I send these items to china, directly from the non-eu country, I wont be seen as the "exporter".

    Can you tell me how can I overcome this problem? Do I need to register a business in the non-eu country? I read some things about doing export as "third party", but I suppose it will be too much complicated for the chinese customs to understand the idea, and avoid delays.

    Thanks
     
    Posted: Jun 29, 2019 By: Biohyt Member since: Apr 25, 2018
    #1
  2. MY OFFICE IN CHINA

    MY OFFICE IN CHINA UKBF Big Shot Full Member

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    There are a few relevant factors involved:

    1. Are you intending on sending by air or sea?

    2. Which 'non-eu country' will you be shipping from?

    3. What are the products?
     
    Posted: Jun 30, 2019 By: MY OFFICE IN CHINA Member since: Nov 16, 2011
    #2
  3. Biohyt

    Biohyt UKBF Newcomer Free Member

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    Hello

    I intend to ship by sea, from georgia, and the item is bag (there are multiple items but this is one of the items im mostly interested to progress further). The producer has multiple places so depending on the situation, I may ask him to send from elsewhere.
     
    Posted: Jul 1, 2019 By: Biohyt Member since: Apr 25, 2018
    #3
  4. MY OFFICE IN CHINA

    MY OFFICE IN CHINA UKBF Big Shot Full Member

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    You can ship under any name, it’s the importer in China that may have issues.
     
    Posted: Jul 1, 2019 By: MY OFFICE IN CHINA Member since: Nov 16, 2011
    #4
  5. Biohyt

    Biohyt UKBF Newcomer Free Member

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    Do you mean, the customs may not release the items because the producer (sender) is different from the owner of the brand ?
     
    Posted: Jul 1, 2019 By: Biohyt Member since: Apr 25, 2018
    #5
  6. MY OFFICE IN CHINA

    MY OFFICE IN CHINA UKBF Big Shot Full Member

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    No.

    There maybe high taxes to pay.

    If it’s branded, they may need authorization to import from the brand owner.
     
    Posted: Jul 1, 2019 By: MY OFFICE IN CHINA Member since: Nov 16, 2011
    #6
  7. Biohyt

    Biohyt UKBF Newcomer Free Member

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    Thanks. I have been searching about this for some time, but couldnt reach any official body, or agency to confirm it. Its actually a very basic question about how to deal with exporting if you are the brand owner but not the sending party. Perhaps, there are still barriers that urge people for trading directly from buyer to seller. It seems like registering a business, and becoming the sending party would be the best thing to do, because even though the tax is not a big issue, I dont think anyone in the customs will ever recognise an authorisation letter issued by me. The brand is not actually "a famous brand" etc. But its just an ordinary brand. Its annoying to see that when more than two parties are involved in the trade, its like a red alarm, and considered to be unsafe
     
    Posted: Jul 1, 2019 By: Biohyt Member since: Apr 25, 2018
    #7
  8. MY OFFICE IN CHINA

    MY OFFICE IN CHINA UKBF Big Shot Full Member

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    Just write a letter saying you authorise the importer to import and sell your products in China. Enclose your brand registration certificate.
     
    Posted: Jul 1, 2019 By: MY OFFICE IN CHINA Member since: Nov 16, 2011
    #8
  9. Biohyt

    Biohyt UKBF Newcomer Free Member

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    Do you think I should register as a trade mark, or a letter for "unregistered" brand would be ok? The brand was just for the sole trading business with an unregistered brand.
     
    Posted: Jul 1, 2019 By: Biohyt Member since: Apr 25, 2018
    #9
  10. MY OFFICE IN CHINA

    MY OFFICE IN CHINA UKBF Big Shot Full Member

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    You should always register your brand to prove you are the owner.
     
    Posted: Jul 1, 2019 By: MY OFFICE IN CHINA Member since: Nov 16, 2011
    #10
  11. Biohyt

    Biohyt UKBF Newcomer Free Member

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    The business is registered to the hmrc. But I think you dont think this would be enough for exporting ?
     
    Posted: Jul 1, 2019 By: Biohyt Member since: Apr 25, 2018
    #11
  12. MY OFFICE IN CHINA

    MY OFFICE IN CHINA UKBF Big Shot Full Member

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    A trademark is different to a company name.
     
    Posted: Jul 1, 2019 By: MY OFFICE IN CHINA Member since: Nov 16, 2011
    #12
  13. Biohyt

    Biohyt UKBF Newcomer Free Member

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    So do you think its a necessity to register trademark, in order to export items to china? In order to trade in the uk, trademark registration is not a necessity. But as I understand from your comments, I need to register the brand as a trademark in order to export. Please correct me if im wrong.
     
    Last edited: Jul 1, 2019
    Posted: Jul 1, 2019 By: Biohyt Member since: Apr 25, 2018
    #13
  14. Biohyt

    Biohyt UKBF Newcomer Free Member

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    To sum, do you think if I register the brand as a trademark, and provide some sort of letter of permission to the producer, will the manufacturer be able to export the items, even though Im not the sending party?

    Looking forward to hear an easy way, if any, to export an item to china as a uk based seller, through the manufacturer.
     
    Posted: Jul 1, 2019 By: Biohyt Member since: Apr 25, 2018
    #14
  15. MY OFFICE IN CHINA

    MY OFFICE IN CHINA UKBF Big Shot Full Member

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    It's irrelevant who the sender/shipper is.

    The brand owner should issue a letter to the China importer, allowing him to import and sell the goods in China.

    Currently, it seems you have not registered the trademark you are using on your bags.

    It may be that a company has already registered the trademark you are using and may object to your using it on your products.
     
    Posted: Jul 1, 2019 By: MY OFFICE IN CHINA Member since: Nov 16, 2011
    #15
  16. Biohyt

    Biohyt UKBF Newcomer Free Member

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    Thank you for your reply. In fact its useful, as its an important subject. But the brand is very new, which I dont bother, even if someone registers it before me, or imitates the products.

    From this point, the only thing which I must provide the importer with, is a letter of permission. If you have come across some type of this letter, would you suggest that its better to make a notary or a law firm perhaps, to state that the letter is genuinely written by me? My thinking is like; the chinese customs may consider an a4 sized permission paper unofficial (even though its a letterhead paper)
     
    Posted: Jul 1, 2019 By: Biohyt Member since: Apr 25, 2018
    #16
  17. MY OFFICE IN CHINA

    MY OFFICE IN CHINA UKBF Big Shot Full Member

    4,216 852
    The important aspect is that you own the trademark you are using on your bags.

    If not, you may be risking a trademark already in existence.

    My advice is to check if the trademark is registered and if not, apply for the trademark in your name.

    You can only give authorisation if you own the trademark.
     
    Posted: Jul 1, 2019 By: MY OFFICE IN CHINA Member since: Nov 16, 2011
    #17
  18. Biohyt

    Biohyt UKBF Newcomer Free Member

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    From your comments, and my research, I come up with these results:
    1) if the brand owner is not the sending party, and the manufacturer is sending to the buyer, chinese customs ask for authorisation letter.
    2) no business is entitled to register their brand for trademark to do business locally.
    3) You can only give authorisation if you own the trademark
    > So, if one intends to export to china, trademark registration is a necessity.

    Just to note for any users reading this, I have got replies from two other people (one of them is a business manager, but im not sure about the occupancy of the other one) that trademark registration is not a necessity to export items, nor authorisation letter.
     
    Posted: Jul 1, 2019 By: Biohyt Member since: Apr 25, 2018
    #18
  19. MY OFFICE IN CHINA

    MY OFFICE IN CHINA UKBF Big Shot Full Member

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    Answers . . .

    1. No. It’s irrelevant who is the sending party.

    2. No. Not sure what you’re trying to say, but if you are going to use a name on a product, the least you should do is to ensure you are not infringing on a trademark owned by a 3rd party. Also it’s advisable to register the name you want to use, so you own the trademark.

    3. Yes, you have to own a trademark in order to give authorisation for somebody to sell or import in China. China customs may stop products from entering China if they are aware of a brand and the importer dies not have authorisation to import os sell the brand in China. This will happen randomly, but is on the increase, due to tightening IP controls (don’t laugh) in China.

    (>) No. but if you want to use a name on your product, ensure it is not infringing on a trademark. China customs may or may not open your box, check your commercial invoice, or ask for an authorisation letter. Best to be prepared.

    To clarify.

    If you are using a name to brand your product, you must carry out due diligence in order to ensure that the name you intend to use is not trademarked, whether in UK, EU, USA, ASIA . . . .

    Not to do so, may mean that the name you use on your products MAY infringe a 3rd party’s IP.

    When sending goods to China, it’s always best to be prepared, as IP on branded items is looked at closely.
     
    Posted: Jul 2, 2019 By: MY OFFICE IN CHINA Member since: Nov 16, 2011
    #19
  20. Birchedge

    Birchedge UKBF Newcomer Free Member

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    This thread is very helpful. A lot of informations.
     
    Posted: Jul 5, 2019 By: Birchedge Member since: May 30, 2019
    #20