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How to verify a Chinese supplier before you pay

Before sending money to a Chinese supplier, verify three things: that the company is legally registered, that it really manufactures (not just trades), and that your product and price are real. Here is a practical checklist — and how a local team can check on the ground.

By the PandaRoads team in China  ·  Last updated: October 2026

Quick answer: Check the business licence, confirm the company actually makes your product, get samples, and — for meaningful orders — visit or send someone to visit the factory. A verified factory visit costs far less than a lost deposit.

The 5-point supplier check

  1. Business licence (营业执照): the registered name, legal representative and scope of business. The scope tells you whether they are allowed to make what they sell.
  2. Manufacturer or trader? Many “factories” are trading companies. Ask for the production address, then verify it.
  3. Product and price reality: request samples and compare against a real 1688 price to see the true cost baseline.
  4. Factory visit or audit: for meaningful orders, an on-site visit confirms capacity, equipment and staff.
  5. Pre-shipment inspection: before you release the balance, check quantity, workmanship and packaging against your spec.

Red flags: a price far below everyone else, pressure to pay by personal account, reluctance to show the factory address, or a company name that changes between quotes.

What a local check looks like

We can visit the site, photograph the production line, check the licence, and report back in English with evidence — remote research in 2 business days, or same-day results on-site. It is the cheapest insurance in importing.

How PandaRoads helps

Supplier and factory verification is one of our most requested services. We check the company, visit the factory if needed, and tell you honestly what we find — including when to walk away.

Frequently asked questions

How do I verify a Chinese supplier?
Check the business licence (registered name and scope), confirm whether they are a manufacturer or a trader, request samples, compare against a real 1688 price, and for meaningful orders visit or send someone to visit the factory.
How can I tell if a Chinese supplier is a real factory?
Ask for the production address and then verify it. Many suppliers that call themselves factories are trading companies. An on-site visit or a local check confirms equipment, capacity and staff.
Should I inspect goods before paying?
Yes. A pre-shipment inspection checks quantity, workmanship and packaging against your spec before you release the balance — so problems are found while they can still be fixed.
What are the warning signs of a scam supplier?
Prices far below the market, pressure to pay into a personal account, refusal to share the factory address, and company names that change between documents.
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By the PandaRoads team in China
We plan China trips and get real work done on the ground. Every guide is written from first-hand, on-the-ground experience — and dated.

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