Import / Export (Update)

Suspicious Chinese Business Practices:  Although China's booming economy offers great opportunities for U.S. companies; businesses looking to invest or export to any foreign country should always exercise due diligence. Several exporters recently reported unsolicited buyer interest from China and elsewhere that turned out bogus. Requests for advance payments, samples or prototypes to be sent in advance of sales negotiations, cash for travel expenses for an "essential" U.S. meeting, all pose red flags and may be fraudulent. Below is a list of measures to take to protect your business in such circumstances: Request a copy of the business license: check validity of address and phone number, license validity date, and name of the registered representative. Reguest a copy of the company's certificate of import/export authority. Verify the company's international trade experience and avoid firms that have less than two years of experience. Seek multiple references and check them. Request referrals to both suppliers and customers. Order an International Company Profile report through the US Commercial Service. Accept only secured forms of payment such as letter of credit or direct telegraphic transfer ( T/T or wire transfer ). To report a suspicious business offer from China, contact: US Export Assistance Center at www.buyusa.gov/home/us.html or the China Business Information Center at  www.export.gov/china .