For a first-time international buyer, sourcing a display module from a China-based factory involves a handful of practical mechanics that rarely get explained clearly — not because they're complicated, but because experienced buyers take them for granted and nobody writes them down for the next person.
Incoterms: who's responsible for what, and when
The three terms you'll encounter most often in display sourcing:
| Term | What it means | Who arranges shipping | When risk transfers to you |
|---|---|---|---|
| EXW (Ex Works) | You collect from the factory | You (or your freight forwarder) | At the factory door |
| FOB (Free on Board) | Supplier delivers to the port, loads it | You, from the port onward | Once loaded on the vessel |
| DDP (Delivered Duty Paid) | Supplier handles everything, including customs | Supplier | At your delivery address |
For a first order, DDP is usually the simplest — the quoted price includes shipping and duties, and you're not coordinating freight forwarders or customs brokers yourself. FOB becomes more cost-effective once you have your own freight forwarder relationship and are ordering at volume.
Communication: what to put in writing from the start
- Confirm specs in writing, not just verbally — a written RFQ with size, resolution, interface, and quantity (see our datasheet reading guide for what to check on the supplier's side) avoids the most common source of mismatched expectations
- Ask for photos or video at each stage — sample production, pre-shipment inspection — rather than waiting until the box arrives to find out something's wrong
- Clarify time zones and response expectations upfront — most Chinese suppliers work standard business hours in China Standard Time (UTC+8); knowing this avoids frustration over response delays that are really just normal working-hours differences
- Put revisions in writing too — if a spec changes mid-project (a different resolution, an added touch layer), confirm the change and its effect on price/lead time in writing before production restarts, not verbally on a call
Payment terms you'll typically encounter
- Samples: usually paid in full upfront, sometimes with shipping billed separately
- Production orders: a common pattern is a deposit (30-50%) before production starts, with the balance due before shipment or upon presentation of shipping documents
- Established relationships: payment terms often become more flexible after a track record of successful orders
- Payment methods: bank wire transfer (T/T) is the standard for B2B display orders; PayPal and similar platforms are typically used for smaller sample-stage payments rather than full production orders, partly due to transaction fees at scale
Factory audits and supplier verification
For a first order of any real size, it's worth verifying the supplier before committing — not because most suppliers are untrustworthy, but because verification is cheap insurance relative to the cost of an order going wrong:
- Business license verification — a legitimate Chinese manufacturer can provide their business registration details, which can be checked against public registries
- Factory audit — either an in-person visit (if feasible) or a third-party factory audit service, which typically checks production capacity, equipment, and working conditions against what was represented
- Trade references — ask for contactable references from existing customers, particularly ones sourcing similar products
- Alibaba/trade platform verification badges — useful as a starting signal (verified supplier, transaction history) but not a substitute for your own due diligence on a first meaningful order
Logistics: air vs sea
| Method | Speed | Cost | Best for |
|---|---|---|---|
| Air freight | Days | Higher per unit | Samples, urgent orders, low volume |
| Sea freight | Weeks | Lower per unit | Production volume orders where lead time allows |
For a first production order, budget more lead time than you think you need — customs clearance and last-mile delivery add time beyond the shipping transit itself, and first-time shipments sometimes take longer to clear than established supplier relationships.
Import considerations on your end
Beyond the supplier relationship, a few things worth confirming before your goods ship:
- Tariff classification (HS code) for display modules in your destination country, and whether it changes based on whether touch/glass is integrated
- Import documentation your customs broker will need — commercial invoice, packing list, and sometimes a certificate of origin
- Whether your destination requires product certification (e.g., CE, FCC, RoHS documentation) before customs will release the shipment — confirm this well before the goods are in transit, not after
What to confirm before your first order
- Which Incoterm the quote is based on — don't assume
- Whether the quoted lead time includes production only, or production plus shipping
- Payment terms and what triggers each payment milestone
- Who to contact for quality issues after the shipment arrives, and what the resolution process looks like
- Whether any product certification is required on your end before customs clearance
Sourcing your first display order from China? Request a quote and we'll walk you through the process step by step. Once you're past sampling, our QC checklist guide covers what to set up before your first mass-production batch ships.