Local Market Knowledge
Despite holding a worldwide patent on a product for power cables, a leading UK ceramics business was losing over £50,000 a year due to high manufacturing costs in its domestic market.
Having been briefed on the problem, SINO TRADING put the project out for tender and soon sourced a Chinese supplier that could match the client’s high-spec requirements at a much lower price. But the cost-savings didn’t stop there. Because of our knowledge of China’s regulatory framework, we applied for grants and incentives from local and national government that put the production process on a joint venture footing.
This shaved further percentage points off origination costs and allowed the joint venture to realise a £3million profit in its first four years of trading.
And because all partners in the deal trust us, we continue to run bi-annual audits on accounts and production performance to ensure that the UK and Chinese arms of the business share proceeds equitably.