Prices Are Going Up—Unless You Negotiate. Here’s How.
The headlines are focused on tariffs, but that’s only part of the cost problem. Across China, factories are quietly raising prices, shortening payment terms, and passing their internal pressures directly onto foreign buyers.
If you’re manufacturing in China today, your costs are likely going up—even if your order hasn’t changed.
But here’s the good news: This is also one of the best times in years to renegotiate.
At China Agent Ltd, we specialize in helping foreign buyers push back—secure better pricing, longer payment terms, and more committed partnerships with Chinese suppliers.
And right now, when many factories are desperate to keep clients, they’re more willing to negotiate than they let on.
Why Prices Are Quietly Rising in China
🔺 Labor Costs Are Up
China’s labor force is shrinking and becoming more expensive. Many factories are raising unit costs by 3–10% quietly over time, especially for repeat buyers who aren’t watching closely.
🔺 Raw Material Costs Have Shifted
Some suppliers are blaming “global increases” for passing along markups that don’t reflect the real market. Without transparency, you’ll never know.
🔺 Cash Flow is Tighter Than Ever
Factories are demanding faster deposits and full payment on shipment, citing “policy changes” or “internal restructuring.” In truth, many are just tightening up to survive.
The Power of Negotiation—When Done Right
Now’s the time to revisit your pricing structure, payment terms, and even your supplier selection. Here’s what we’re doing for clients every day:
✅ Price Reassessment & Cost Breakdown
We break down the true cost of your product—materials, labor, logistics—then compare that against what you're being charged.
Result: We often discover 5–15% in hidden markups or margin padding.
✅ Payment Terms Renegotiation
From 30% deposits and 70% on shipment, we help clients move toward lower upfront deposits, milestone-based payments, or even Net-30/Net-60 terms.
Result: Improved cash flow, better leverage, and stronger relationships.
✅ Volume-Based Discounts or Shared Tariff Burdens
When orders are stable or growing, we use that to negotiate volume discounts—or share tariff burdens with suppliers instead of absorbing them alone.
Result: You get better pricing without reducing quality.
What Most Buyers Get Wrong
They accept the first offer.
They assume the factory’s numbers are fixed.
They’re afraid of pushing too hard and damaging the relationship.
But with the right approach—especially from a **local negotiator who speaks the language, understands the culture, and knows what’s normal—**you don’t just protect the relationship, you strengthen it.
How China Agent Ltd Leads These Negotiations
🧠 Supplier Analysis – We audit your current factory pricing and terms vs. benchmarks across the industry.
📞 Direct Negotiation – Our local teams visit or call suppliers directly—on your behalf—to restructure deals.
✍️ Contracting Support – We help rewrite PO terms, add penalties, or tie pricing to real indexes so you’re never blindsided again.
🔁 Supplier Transition (If Needed) – If the supplier won’t move, we’re ready to find and onboard someone who will.
You Don’t Need to Move Out of China—You Just Need to Take Control of It
If you haven’t renegotiated in the last 12 months, you’re likely leaving money on the table.
Factories will always protect their margin—but with the right partner on your side, you can protect yours too.
