Factory or trading company: questions buyers can verify

A trading company can coordinate several producers well; a factory can make a product without handling export paperwork well. The useful question is who performs each task and who is accountable if it fails. Ask for a role map rather than making a decision from a label.

Trace the work

Identify the contracting seller, actual production site, quality contact, sample maker, and party arranging shipment. Ask whether production may move to another site and how the buyer would be told. If an audit or visit matters, confirm the address and scope in advance rather than assuming a website photo depicts the quoted operation.

Test accountability

Put the complaint path, rework owner, and replacement or credit process in writing. The seller may remain fully responsible even when it subcontracts production, but that must be clear in the transaction documents. Verify claims proportionately for the order's risk and revisit them if the relationship or production site changes.

Worked responsibility check

For 800 sewn bags, use the RFQ builder to fix the material, stitching standard, and sample ID. Ask a trading company to name the production site and the person who signs off corrective action; ask a factory the same questions about any subcontracted printing. Compare the answers as a responsibility map, not a “factory wins” label. Common error: assuming the factory shown in a sales brochure will make this order. Put site-change notice in the purchase order.

Source context: U.S. International Trade Administration — Perform Due Diligence supports this limited point: The ITA recommends checking prospective business partners and continuing due diligence. The buyer procedure above is Suppliers Help editorial guidance. Source checked 2026-09-27.