Cut your China
sourcing costs.
Without cutting
quality.
Most importers overpay their Chinese suppliers by 10–30% — not through dishonesty, but through stale pricing, over-specified materials, and relationships that haven’t been stress-tested in years. We fix that.
Documented results
Steel sourcing — EU importer
Mouse pad factory — unit price
Typical first-engagement savings
Time to first documented saving
Quality guaranteed
Specs unchanged — costs renegotiated
Results in 60 days
First savings within 2 months
Independent advice
No supplier kickbacks or commissions
Full documentation
Every saving tracked and reported
Where your sourcing money is leaking
Cost creep in China sourcing is rarely dramatic. It’s a price that hasn’t been renegotiated in three years, a material specification that made sense at launch but is now over-engineered, or a freight arrangement that was convenient — not optimal.
Stale supplier pricing —
relationships that haven't been renegotiated since the first order, while raw material prices and labour costs have shifted
Over-specified materials —
tolerances, finishes, or grades that exceed what your end customer can perceive or your market requires
Trading company margin —
buying through a middleman who adds 8–15% on every order without adding equivalent value
Reactive quality control —
catching defects at destination rather than at the factory, where fixing them costs 10× less
Supplier renegotiation —
using live market data and alternative quotes to negotiate prices your supplier will respect, not resent
Value engineering —
reviewing specs with both your technical requirements and your Chinese factory's cost structure to find removable cost
Direct factory access —
identifying the actual manufacturer (not a reseller) and structuring a direct relationship with better terms
Factory-gate QC —
pre-shipment inspection that catches defects before they leave China, eliminating expensive returns and rework
A four-step cost-down process
Every engagement starts with a full cost audit before we touch a single supplier. We map
where money is going before deciding where to cut.
Landed cost audit
We deconstruct your current total landed cost — unit price, freight, duties, inspection, storage, and working capital — into a benchmarkable baseline. Most clients discover 2–3 cost centres they hadn’t isolated.
Market benchmarking
We source current pricing from alternative manufacturers in the same category — including factories your current supplier may be subcontracting to. This gives us documented leverage before any conversation starts.
Value engineering
We review your product specification against the factory’s BOM, identifying materials, processes, or packaging elements that can be revised without affecting end-customer perception, compliance, or performance.
Negotiation and lock-in
Ben negotiates directly — in Mandarin, with full context. Savings are documented in writing, with revised price schedules and updated payment terms. You get a final cost reduction report for your records.
Six cost reduction levers
Not every lever applies to every engagement. After the audit, we identify which levers are
live for your specific product and supplier situation.
Material substitution
Replacing over-specified materials with equivalents that meet your actual functional requirements — without compromising the end product. Common in metal components, plastics, and packaging substrates.
Supplier renegotiation
Price conversations backed by live market data and documented alternatives. We don’t bluff; we arrive with three competitive quotes and a clear walkaway position.
Direct factory sourcing
Identifying and qualifying the actual manufacturer behind your current supplier. Trading companies and sourcing middlemen add 8–15% margin on every order — often without the buyer’s knowledge.
Volume consolidation
Consolidating fragmented purchase orders to unlock better price breaks. Negotiating annual volume commitments in exchange for lower unit pricing and priority production scheduling.
Freight optimisation
Shifting from LCL to FCL through multi-supplier consolidation , optimising Incoterms, and renegotiating freight forwarder rates using competitive tender rather than default relationships.
Process simplification
Reviewing manufacturing steps, assembly sequences, and quality inspection processes to eliminate operations that add cost but not customer value. Most effective on labour-intensive products.
Cost reduction in action
Two recent engagements — different products, same methodology, documented savings.
Steel Sourcing: 22% Cost Reduction for EU Importer
A European special-steel processing importer had been buying through the same Chinese trading company for six years. A full landed cost audit revealed they were paying an 18% trading margin — and material prices had dropped since their contract was set.
Mouse Pad Factory: From $0.12 to $0.08 per Unit
A high-volume accessories brand was buying mouse pads at $0.12/unit and assumed they were already at market floor. A value engineering review identified an over-specified foam base and a single-source rubber supplier as the cost drivers.
Who gets the most from cost reduction consulting
Not every sourcing situation has 30% to recover. Here’s where we typically find the most
recoverable cost.
Established importers — same supplier, 3+ years
Pricing agreed at launch rarely reflects current market conditions. If you haven’t formally renegotiated in the past 18 months, there is almost certainly recoverable margin — especially if raw material inputs have moved.
Brands under margin pressure
If you’ve absorbed freight surcharges, currency fluctuations, or tariff increases without being able to pass them to customers, a structured cost-down engagement is often faster than a price increase conversation.
Buyers scaling from low to high volume
Your original pricing was set at MOQ. As volumes have grown, the per-unit economics should have improved — but most suppliers don’t volunteer price breaks. We negotiate the discount your volume now justifies.
Companies with complex product specs
Products with detailed BOMs, tight tolerances, or multi-material construction often carry the most hidden cost. Value engineering is most effective when there are 10+ spec decisions to interrogate.
Importers buying through trading companies
If your current “supplier” can’t show you factory certifications, won’t let you visit the production floor, or gives vague answers about subcontracting — you are almost certainly paying a trading margin on every order.
Businesses preparing for tariff impact
If rising tariffs or trade policy changes are compressing your margins, a cost-down engagement can offset the impact — often more quickly and reliably than a China+1 supplier switch, which takes 12–18 months.
How we price this work
Cost reduction consulting is priced on a success basis — we take a share of the savings we
deliver. This aligns our incentives with yours: we only get paid when you actually save money.
30–40% of savings delivered
For example: if we reduce your landed cost by $100,000, our fee is $30,000–$40,000. You keep 60–70% of every dollar saved. Engagement cost depends on product complexity, number of SKUs, and current supplier situation. Most cost reduction engagements start with a free 30-minute audit call with Ben. If we don’t think we can deliver meaningful savings, we’ll tell you before you spend anything.
Frequently asked questions
Most clients see 10–30% reduction in landed cost depending on the category, order volume, and how long they have been working with the same supplier without renegotiation. Products with high labour content or over-specified materials tend to yield the largest savings. Industrial and construction materials typically fall in the 15–25% range. Consumer goods with complex specs often reach 20–30%.
Not if done correctly. Our process distinguishes between costs that protect quality and costs that inflate supplier margin or result from over-specification. Value engineering targets materials, processes, or packaging elements that add cost without adding customer value. Your quality control standards, compliance requirements, and functional specifications remain unchanged throughout the engagement.
We need your current supplier quotes or invoices, a product specification sheet or physical sample, your target markets and annual volumes, and any quality or compliance requirements. A 30-minute discovery call with Ben is enough to scope the engagement and give you an honest view of likely savings potential before any commitment is made.
Both. We start by auditing your current supplier relationship and pricing — there is often 10–15% recoverable through renegotiation alone before switching is considered. If renegotiation reaches its limit, we benchmark alternative manufacturers and give you documented options. You decide whether to stay, diversify, or switch — we give you the information to make that call with confidence.
Initial cost audit: 1–2 weeks. Supplier renegotiation or alternative supplier identification: 3–6 weeks. Full value engineering on a complex product: 6–12 weeks. Most clients see their first documented savings within 60 days of engagement start. Simpler renegotiation engagements on single-SKU products can move faster — sometimes within 3–4 weeks.
Industrial and construction materials, consumer goods, promotional products, packaging, sports and outdoor equipment, and general manufacturing. We have documented case results in steel, engineered metal components, soft goods, and consumer electronics accessories. We do not currently cover medical devices, aerospace components, or heavily regulated pharmaceutical packaging. If your category isn’t listed, contact us — we’ll tell you honestly whether we can help.
Related solutions, services, and reading
Container Consolidation — cut freight costs
Steel Sourcing: 22% cost reduction for EU importer
Mouse Pad Factory: $0.12 to $0.08 per unit