SHENZHEN GLOBAL WEIYE CLOTHING CO LTD / CID (UK) LTD,
Type of Complaint(s):
missed lead times,
After placing the order with a very obnoxious vendor called Jack XU from the above above named company, i found out that the goods were going to be made in “their factory” in Nanchang, JiangXi province.
Highly detailed specs had already been given but then along came the hidden extras………
USD 0.04 for an A4 sized sheet of thin paper card inside each T shirt to stop it from falling to the bottom of the poly-bag when hung on the supermarket rack.
USD 0.04 for a 1 color print on the poly-bag
USD 0.15 for extra label costs for handling and sorting the size labels
USD 0.10 for 2 small 5*4cm heat transfers
USD 0.53 per inner carton.
After weeks of negotiations and arguing, i finally managed to have a meeting with Jack’s boss and negotiate the cost down to USD 0.20 per piece total.
I also had to send a person to the factory on a full time basis to ensure that the bad quality prints did not find their way back into the production.
This person, towards the end of the production, actually found out that the 2 guys posing as the factory boss and the production manager were actually nothing to do with the factory at all. They were simply sent by Shenzhen Global WeiYe to make it look like the factory was actually owned by the Shenzhen company. The person was actually informed by the factory workers whom she had befriended.
Just for information, when i visited the factory, it was very well organised and production was quite good.
However, i did go to the printing factory which had been chosen by Jack and i was totally and utterly disgusted. In all my 30 years working with China, i have never come across such a dirty, dingy and dishonest printing unit. Everywhere was filthy and and there was absolutely no respect towards environmental issues.
I immediately instructed the person who i sent to the factory to survey the printing unit to ensure that no environmental pollution took place during my production at least.
A letter of information was sent to the local authorities asking them to investigate the print unit.
Once production of the order was finished is where the scam kicked in.
The order, was signed with the terms as being FOB Shenzhen port, 100% of the goods to be shipped on a vessel leaving by 28 January 2014, and payment terms as being 30% deposit with the balance payable against a faxed copy of the BL.
However, i found myself obliged to pay in 4 installments – USD 60 000 before the truck left the factory in Nanchang, Jiangxi province, another USD 60 000 after the truck arrived in their Shenzhen “factory” BUT before they loaded the 2 containers (incidentally, i was obliged by the seller to pay the second installment into his boss’ personal bank account in HSBC Hong Kong as it was “the day before the Chinese New Year and there was nobody in the Shenzhen factory to be able to check the company accounts.!) and then another 2 installments planned immediately after the CNY.
I had to go to the Shenzhen “factory” to check that the truck with the goods was actually there, call to my French office at 2am French time to ask them to validate the payment immediately and wait until Jack got confirmation that his boss had received the bank advice slip and then ensure the 2 containers were loaded.
Later in the day, i enquired to my forwarder to see if they had received the container and documents but…………nothing.!
After calling Jack, he told me that he had remitted the documents to HIS forwarding agent, “hidden” the 2 containers in HIS forwarders warehouse until the money had actually been remitted and credited to his boss’ account, upon which he would release everything to my forwarder. Luckily the money arrived within the afternoon.
There was however, one reference which was not ready on time so it was agreed that i would pay for this reference upon shipment after the CNY. So we convened on FOB SHENZHEN PORT on 28 FEB.
Approaching this date, i enquired to Jack as to which vessel he had booked and it turns out that nothing was done. Jack was playing with words and told me that as long as the goods left his factory on 28 FEB, he was respecting the deal.
So after many arguments with Jack, with one where he informed me in Chinese what i should do with my mother, i finally managed to contact his boss again and arranged a meeting.
Outcome of the meeting was that Jack was running around all morning on 23 FEB trying to book a 40′ container onto a vessel leaving Shenzhen on 28 Feb, and with this proving impossible, his boss reluctently agreed to participate in the extra costs incurred by having to ship by SEA/AIR.
However, once again, the goods would only be shipped out once the money had been received in the bank account.
Always look for little tell-tale signs about factory ownership before placing the order such as the “factory” quoting you FOB from a port which is nowhere near where they are based, during a factory visit where the “factory person” has to phone before arriving or gets lost along the way, where you and the “factory person” are not allowed in certain parts of the factory or are followed by other people watching over.
Check credentials, check business licenses (although absolutely not fool proof as everything can be bought in China.
Be extremely careful of companies and factories in JIANGXI, ZHEJIANG and other provinces more inland like HUNAN, as these have less qualified labor, use lots of home workers and are a lot more devious than factories in GuangDong or Fujian, of which many have Hong Kong, Taiwan or Japanese management.
Remember, a Chinese boss’ role is not to be in the factory, but to be seen driving his big Porsche or BMW SUV around, or taking the local police chief to the sauna, massage or KTV.
One of the first questions i always ask the workers discreetly is when was the last time they saw their boss and how often he is in the factory.
How can a factory be efficiently run if there is no boss to show the way.?