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folding reusable drinking straw last straw final straw for promotional products and logo

Easy DIY Importing from China to the USA are Over!

Easy DIY Importing from China to the USA are Over!

Prepare to get ready to be buried under paperwork, have your goods caught in customs and possibly returned to China, this will not be pretty.

We have been an importer from China to the US since 2005.

Back in 1992 (The Dark Ages), I was one of the first US importers to go directly to China (and other countries) to source finished goods for the North American and European markets.

My job was to be the head of the import hammer for a very large denim factory that produced goods for Levi’s, Lee, Wrangler plus our ad specialty division called ID Wear. At that time there was numerous tariffs, duties etc in place which made importing finished goods from China to the US very very dificult.

get your logo on the coolest trade show and b2b promo swag.

get your logo on the coolest trade show and b2b promo swag.

Why did we have tarrifs in the first place?

Originally there were T&D (Tariffifs and Duties) in place to protect the American manufacturing market not because China was an economic threat, but because China was a Communist country and a global political threat.

As you will remember, China, in 1993 was just emerging from the Tiananmen Square Massacre of 3000 of their own citizens.

In 1993 their economy was just slightly ahead of Afghanistan/Pakistan region and just below that of Italy. See below.

“Since 1993 a lot has changed!”

china in 1993

china in 1993

During the Period 1993-2005

Sometime in the early 2000’s, China received “most favored nation status” from the USA. This basically meant we in the west no longer cared that they were/are Communist and instead we wanted to do business with them. Basically we all went crazy in an effort to do business with China….”It was Belly up to the bar boys lets make money, who cares if they’re Commies! ? ”

“As the years ticked by, 93, 96, 98, 2000 etc… all T&D’s slowly got to be less costly and required way less paperwork.”

This slow rollback of T&D was an intentional move by the US Gov’t to allow American manufacturers who made products for our domestic wholesale and retail markets (such as goods for the Promotional Products industry) to have a long time to get their factory’s more lean and competitive.

or…alternatively…to turn get those same American Manufactuers (circa 1993-2005) to become an American Importer of the same finished goods.

“Wanna read something interesting..? Check out the Fortune 500 TOP list of American Business in 1999, How many of these are long gone? Click Here” 

get your business logo on amazing pop socket phone holders.

get your business logo on amazing pop socket phone holders.

Meanwhile…

During this period (circa 1993-2005) virtually all of the large USA based promotional product factories that made everything at that time from molded custo products to keychains to lanyards, stainless steel waterbottles, clothing, et etc etc.. here in the USA, all but dissapeared.

Along with the US promo factories closings we also lost all the skilled laborers who made these goods. They either retired or went on to a new career.

“In short…Most people who worked in American factories from 1993-2005 are now doing something completely different. They are working elsewhere, the unemployment rate today is at historic lows, they have to be”

paper tyvek wallet for your promo logo

paper tyvek wallet for your promo logo

My Story

Our denim factory employed nearly 400 denim sewers and cutters. Since 2006 it is fully closed.

These skilled positions often employed multi-generations of the same family (mostly immigrants) all working at low wages. We paid low wages so that the jeans and denim goods we made were affordable to the American consumer. If we paid more we were not competitive and they went to Turkey, Eastern Europe, Asia..etc.

 

“It is now almost 2019, these formerly skilled low wage domestic factory workers have not laid denim to Juki in 14 years. They no longer are skilled in that field of manufacturing and are making more money”

 

fidget cubes for your promotional marketing logo

fidget cubes for your promotional marketing logo

Think About It This Way. If I could open a jeans factory and hire them all back at their old jobs they would A) not know what to do as they have long lost those skills or B) Have succesfully gone on to other careers.

“My best guess is that if you are directly importing as of January 1. 2019 you should expect paperwork, more paperwork, money, extra costs and assorted other BS. T&D, they’re back!”

mini tactical super bright flashlight for your logo

mini tactical super bright flashlight for your logo

How do I know?

I have imported since 1993 and during the period 93/2005 we had to fill in HS codes, arrange to pay duties and brokerage everytime we imported a sample or a boatload of goods (read more) 

The paperwork was the worst as in1993 there were over 14,000 of these codes each one specifically link to a specific product. Each code triggering a different tax/duty rate.

Think of it this way, a 100% stainless steel waterbottle is one code (ie HS 18112XXXX) and has a tariff rate as of January 2019 of 25%.

However a plastic lined stainless steel waterbottle (75% stainless steel, 25% plastic) has a different HS code (ie.HS 18332XXX)…this code has a lower tariff/duty of 12% as of January. If you don’t know the new codes you will likely pay the highest tax, not the correct tax!

 

get your business logo on a pop socket for trade show promotional products and b2b swag. Popsockets are the top selling promotional product for tradeshows in 2018. Wholesale, imprinted and factory direct promotional popsockets are the perfect swag for conference giveaway, b2b marketing and trade show swag.

get your business logo on a pop socket for trade show promotional products and b2b swag. Popsockets are the top selling promotional product for tradeshows in 2018. Wholesale, imprinted and factory direct promotional popsockets are the perfect swag for conference giveaway, b2b marketing and trade show swag.

There are 3 main problems that you need to be on the lookout for as a Distributor.

  1. Be very very careful to do your paperwork properly as part of problem is now with the  US Customs end of the process. US Custom agents who have not dealt with T&D’s since 2005 (or who never dealt with them if they have been hired since 2005) now have to deal with over 12,000 NEW HS Codes that help them determine the cost/tax to charge you.
  2. As well, on the Chinese factory side, the people there have never had to deal with HS codes etc. The current paperwork is dead simple. The new paperwork is not.
  3. Promo suppliers in the US now have a golden opportunity to raise all of their inventory product prices for 2019 to their highest level and simply blame it all on the new Tarrifs & Duties.

 

“I expect that the promo companies that import and warehouse goods in the States will raise their prices to the highest possible amount in a profit grab and blame it all on the new Tariffs!”

bottle cap shooter for your logo or promotional marketing

bottle cap shooter for your logo or promotional marketing

What do we see happening now?

As a direct promo supplier/importer, we are already seeing a growing storm of problems, barriers. Thankfully, we have prepared for this eventuality as we saw this possibly coming over the past 12 months.

We are already seeing US customs requiring more precise documents, accurate HS coding and tons of paperwork. So much so that we have hired 2 extra people, one here in the USA and one in China to deal specifically with these issues.

Prices are going to go up, get used to it!

Unfortunately there are NO DOMESTIC manufacturers to take up the slack and fill in the supply chain as prices and products from China go up as a result of the new tax.

No USA factories are coming to rescue.

 

custom wholesale bulk logo knit socks for promotional product giveaway

custom wholesale bulk logo knit socks for promotional product giveaway

Think about TV’sTV’s have not been made in America for over 20 years.

In 2019, no business investor/entrepreneur in their right mind will ever start a USA made TV factory here. Why you ask?

Firstly way too much capital outlay,  Secondly, no skilled workforce!

TV’s and just about everything else are not about to be manufactured here!

The bit above about TV’s can be applied to tons of other industries, many that affect our promo business.

T shirts, wearables, backpacks, tools, coffee mugs etc etc are NOT GOING TO BE MADE IN THE USA and even if were to make them THEY WILL STILL BE MORE EXPENSIVE THAN THE IMPORT INCLUDING T&D, BY A LONGSHOT.

The occasional importer is doomed. Do you do your own importing?

If all of this is confusing better call Sloan

Trade Show 8.
Factory Direct Promotional Swag.
Call Toll-Free 1-888-908-6932 or [email protected]

 

Wholesale factory direct promotional products. Tyvek paper wallet for your logo.

This Months Special

This Month’s Special Save 25%!

Looking for a deal? Who wouldn’t want to be the smartest marketer on the block?

Each month we offer one of out top trending item at an amazing 25% off of it’s already low, low price. This months special. To see the product page go to this page link.  

Call Toll-Free 1-888-908-6932 or [email protected]

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Bulk wholesale trending promotional products and tradeshow swag. Get your logo on it for less.

Promotional Product Trade Secrets EXPOSED!

Beat the Promotional Products Industry at their own Game

We let you in on a few secrets about the promotional products industry.


It’s about time you learned how to buy your promotional products smarter and for far less money. What we are about to reveal here will forever change how you look at buying your promotional swag!

cheap bulk promotional products

cheap bulk promotional products

Secret #1

Promotional products sold to you from your local distributor usually go through at least 3 to 4 different “hands” each time increasing their actual cost by 30-50%.

These steps are:

  1. Factory: Let’s face it, pretty much everything is made in China. Having owned factories in China, I can tell you that each product has between a 25-45% profit after costs of materials and overhead.
  2. Trading Company: 80-90% of all promotional swag does not come from the actual factory but from a uniquely Chinese concoction called a trading company. Trading companies do not make anything but instead source from factories the various products. They then logo them, market them and have a team of salespeople who sell to anyone in the west (USA or Europe) willing to buy. They also add and additional 25-35% to the price.
  3. Promotional Product Suppliers: These are generally US or EU based warehouses who may import in bulk promotional products that they buy from the trading companies. The suppliers buy in large quantities and often logo the product domestically. The largest of this type of supplier is Leeds who is worth several billion dollars in annual sales.They sell exclusively to the next one on the food chain.
  4. Promotional Product Distributors: These are your local-based promotional products guys/gals. They will sell you anything from “soup to nuts”. They will come to your office to drop off a box of pens or leave behind countless catalogs. They will phone you often and will always ask you about “your next marketing initiative?” They buy from the promotional product suppliers primarily for 2 reasons. Firstly, The suppliers will give them payment terms allowing them to pay 30-45 days after they deliver the product and secondly because the suppliers will sell them very small orders like a half-dozen T-shirts or a dozen golf balls. promotional product distributors add 40-100% to the price they pay from the supplier.
coded promotional product prices

coded promotional product prices

 

Secret #2

What is ASI or PPAI and why this concept is now outdated?

ASI and to a lesser degree PPAI are organizations that represent both supplier and distributor. In the pre-internet world they rigidly governed who could buy and sell promotional products, what prices the distributor could sell the products for and in general kept the free market out of the promotional product game. It worked well for a long, long time.

The Internet Changed Everything.

Pre-internet everything in the promotional products business was done in catalogs. They were released once maybe twice a year in January just before the main trade show and often a fall (September) supplement. These catalogs printed and provided by the suppliers (hundreds of millions printed each year) free of charge to the distributors. In these catalogs and still on the supplier sites you will find pricing that often has letters such as “C” or “A” next to them. This is called coded pricing. It is the price that suppliers want the distributor to sell to you for.

Secret #3

Coded Pricing: In my opinion……ASI coded pricing (aka Suggested Retail Price) is and should be a relic of the past.

What is it? Coded pricing is the suggested retail pricing of promotional products. It is always shown as a letter designation. Usually a “C” or an “A” but what does this mean?

Each letter lets the distrubutor know what to sell the promo product for. The letter also tells them what their profit is!

For instance a promo product with the letter “A” as the suggested price (usually seen on the sites, flyers or in catalogs) means the suggested retail price is DOUBLE the cost that the distributor pays for it from the supplier.

A common letter designation of a “C” or “A” means that the price you pay is 66% more than what the distributor pays the supplier.

In my opinion… These are good folk to know for “pens and mugs with your logo on them”. They really, really know their stuff about pens, mugs, magnets etc.

promotional product prices

promotional product prices

How You Can Beat The System!

First off, we suggest you fire your local swag merchant. Then read this great blog post on how to save money on swagclick to read

The basic suggestion we can offer you is that in the age of the internet you need search for a better solution on how to spend your marketing budget. Blindly doing the same thing over and over again and expecting a different result is the definition of insanity.

” Asking your logo promo guy to suggest something cool for your logo is like blindly doing the same thing over and over again and expecting a different result, it’s the definition of insanity!”

 

The Demographics.

Most local promotional sellers are stuck in the past while at the same time their clients (end users) are increasingly becoming younger. ASI states in a recent press release that the average Distributors age is 58 while the end-user (that would be you) is and average age of 35!

Now, we have nothing against 58 year olds but we also think that we would not get the best results if we were to ask the average 58 year old what is trending on social media and what would be cool for our logo. The Demographics don’t lie!

“Some Distributors get kickbacks from the Suppliers, Why would YOU pay for this ?”

The other problem with the Promo Industry is that some of the Distributors get kickbacks from the Suppliers on some of their orders for the basic (aka as boring) ideas. In fact there are several promo Suppliers currently facing price fixing legislation. Read more…

The reason this matters to you is simple…if you think your Distributor is giving you the best advice as to what works best for your logo, brand and corporate image it may not be advice that is truly honest!

Bulk wholesale trending promotional products and tradeshow swag. Get your logo on it for less.

Bulk wholesale trending promotional products and tradeshow swag. Get your logo on it for less.

Trade Show 8. What we do differently.

Trade Show 8 is owned and run only by promotional product specialists. We only source and sell trending Swag! We don’t sell leaky pens and crappy coffee mugs. Everything we sell is trending on sites like Kickstarter, ETSY, Indigogo or on Social Media. 

Factory Direct: Today, smaller orders and faster delivery allow us to sell swag factory direct from the source. Our overseas factories provide us amazing delivery and outstanding prices on the coolest promotional swag.

Safe and Secure: We accept all major credit cards and offer a 100% money back guarantee on all of our products.

Fast and Friendly: We offer delivery in as little as a week on most orders and will ship for FREE anywhere in North America or Europe. We also provide live real time customer support. Simply call us at 1-888-908-6932 or email [email protected] 

 

Best Selling Trade Show and Promo Swag Ideas!

Below are just a few of our best selling promotional products designed for your business or event logo. “Get Your Logo On It For Less!”

Bulk wholesale Nuckee phone stand and holder. Get your logo on a Nuckee for less.

Bulk wholesale Nuckee phone stand and holder. Get your logo on a Nuckee for less.

Wholesale popsockets. Order your popsocket phone stands with your logo for less than you imagined. Get your logo on a popsocket for less.

Wholesale popsockets. Order your popsocket phone stands with your logo for less than you imagined. Get your logo on a popsocket for less.

Factory direct bulk wholesale promotional products. Folding collapsible reusable drinking straw. Get your logo on it for cheap.

Factory direct bulk wholesale promotional products. Folding collapsible reusable drinking straw. Get your logo on it for cheap.

foldiing moft laptop stand promotional product

foldiing moft laptop stand promotional product

Monet wallet and phone stand for bulk wholesale promotional product.

Monet wallet and phone stand for bulk wholesale promotional product.