How We Sourced and Procured CNC Milling and Turning Machines from China on Competitive Terms
In 2023, two partners who had previously worked only in fertilizers decided to enter industrial manufacturing and produce spare parts. They needed CNC milling and turning machines, but equivalent equipment in Russia was priced at very high distributor markups. The objective was therefore to source the right machines directly from China.
Objective: Identify and procure CNC milling and turning machines from China with the best balance of price, quality and after-sales support.
📍Point A:
Starting Point: The clients had no prior experience manufacturing spare parts and no established relationships with Chinese machine-tool manufacturers.
📍Point B:
Outcome: We organized a business trip to China, arranged meetings with several factory owners and secured a commercially attractive long-term agreement with the selected manufacturer.
Before We Begin, a Brief Introduction
My name is Ivan Melnikov, founder of Asia Business Hub. I have lived and worked in China since 2005. ABH helps companies source equipment and raw materials from China and execute complex technical and industrial projects with Chinese manufacturers, providing hands-on support throughout the entire process.
Ivan Melnikov
Entrepreneur and Founder of Asia Business Hub
- Near-native Mandarin proficiency.
- A strong understanding of how Chinese business owners think and negotiate, including how to structure discounts and long-term commercial agreements.
- Experience building PR visibility in China and developing relationships with Chinese government institutions.
How We Did It
1
Supplier Mapping: We identified manufacturers across different tiers - smaller factories, mid-sized producers and major corporations - so the client could compare price, service and capabilities.
After-sales support was a key selection criterion because machine downtime without local support can become a serious operational problem.
2
China Visit: We organized the client’s trip to China, including airport pickup, domestic travel and all factory meetings.
3
China Business Immersion: We provided a focused China business briefing covering the country’s history, economy, culture and business context, drawing on two decades of on-the-ground experience.
4
Factory Meetings and Negotiations: We visited shortlisted factories together. In China, the quality of local representation materially affects how a foreign buyer is perceived.
Strong Mandarin and senior-level local engagement helped position the client as a serious counterparty and supported more constructive commercial negotiations.
5
Selection and Contracting: We selected the manufacturer offering the strongest combination of commercial terms, price and after-sales support, and concluded the contract.
Final Result
The client secured CNC equipment with an optimal price-to-quality ratio and established a long-term relationship with the Chinese manufacturer. Our local experience and understanding of Chinese negotiation culture helped structure the agreement on favorable terms.
Key takeaway: With the right local partner, companies can identify suitable manufacturers in China quickly and negotiate significantly stronger terms than they could through an unstructured sourcing process.
If you are looking to source equipment from China on strong commercial terms or need an end-to-end solution for entering the Chinese market, start with a free consultation with our team. During an online meeting, we will walk through the key issues and project stages specific to your case.
ABOUT US
Six Achievements We Are Proud Of
Developed a modern 50,000 m² industrial park near Shanghai, with more than USD 30 million in Chinese investment secured for the project.
Signed strategic cooperation agreements with the Shanghai Municipal Government and the Lujiazui district administration, securing special terms for launching projects in Shanghai and surrounding economic clusters.
Organized and delivered dozens of business missions across China’s key regions, enabling direct engagement with regional government bodies and major private-sector companies.
Designed and executed large-scale PR campaigns for client brands. Our established relationships with Chinese public-sector institutions help build visibility and credibility in the Chinese market.
Enabled clients to access strategically important discussions with senior Chinese decision-makers, provincial and municipal leaders, and relevant government agencies, opening new opportunities for international cooperation.
Represented client companies at the China International Import Expo (CIIE) three times between 2019 and 2021, managing the full cycle — from stand design and construction to high-level meetings and Chinese media coverage.
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What We Take Off Your Plate
- End-to-end project management in China
- Translation, negotiations and transaction support
- Market entry
- Analytics, market research and localization
CONSULTING
- Access to key business and government contacts
- Strategic introductions
- Deep local insight into Chinese business culture
BUSINESS MISSIONS
- Supplier sourcing
- Partner due diligence and factory audits
- Negotiations
- Payments, logistics and customs support
TRADE & SOURCING
- VIP-туры и бизнес-миссии с персональным сопровождением
- Индивидуальные программы
- Культурные, образовательные и развлекательные маршруты
- Полный консьерж-сервис и организация логистики
туризм
Asia Business Hub
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We support international projects at every stage - from strategic sourcing and consulting to business missions and exclusive VIP visits. Our role is to help you build trusted relationships with Chinese partners and turn market opportunities into measurable business outcomes.
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