Q:  What products are good candidates for overseas sourcing?

A:  The greatest advantage to sourcing overseas is in taking advantage of lower international labor rates. The disadvantage is higher shipping costs. For a product to be produced more economically overseas, the labor savings must outweigh the increased shipping expense. Consider products with high assembly costs or high labor costs that are small in size. Consider products that require manual operations. Consider products that stack or nest well. Consider products that are lightweight and dense. Consider products that are mass produced or produced in sufficient volume to merit shipping via Full Container Loads (FCL) and because it is generally easier to maintain production than it is to start production, consider repeatable or staple products.

China is advancing more and more each day. However, some of the exotic materials, the latest technologies, and the rare items can be difficult to find. China is the global powerhouse for mass production and typically that means commonly available components and mature manufacturing technologies.

Please consult with a Legacy representative to determine if your product is a good candidate for overseas sourcing.