Update: We have recently discovered Supplier Blacklist (SBL) which is a user generated list of bad suppliers. As of Dec 2012, we are no longer posting under-performing suppliers on the CSIC blog and encourage our readers to use SBL, if they wish to expose a bad supplier or conduct due diligence.
NISSIS INDUSTRIAL CO., LTD.
While we hope the tools and educational resources for buyers found at the China Sourcing Information Center will help buyers have smooth and profitable relations with their suppliers in Asia, it is a sad fact that sometimes, despite the best intentions of the buyer, things go horribly wrong.
Buyers who have been harmed often desire to warn other buyers about under-performing suppliers. Unfortunately, at the moment there is no comprehensive forum which offers a comprehensive black list exposing bad suppliers and giving legit supplier the opportunity to clear their name if accused. Until such a list exists, I welcome buyers to send me their supplier complaints and I will be happy to:
a) Post them in my blog to warn other readers
b) Welcome to hear from the supplier if they have a counter argument to post
With that said, here is our first posting:
Supplier Name/ Contact Details
NISSIS INDUSTRIAL CO., LTD.
Contact : Stella
Fax:0086 574 87878398
Complaint made by:
IDCA – Hugues De Lachaise
How the buyer and seller original met:
Alibaba (no surprise there. Next time try Global Sources.com!)
Details (in words of the buyer):
We had never met such a dishonest and unprofessional supplier before. We had huge troubles because of him and it caused enormous financial loss for our company. So the purpose of this email is to denounce this supplier and prevent him to cheat other traders or importers.
But above all, let me explain you the full story:
We first placed an order with this supplier concerning “Mouse Pads” (318,000 pcs). The order went fine, we received the PPS and quality was ok. Inspection carried with Asia Quality Focus was also OK.
Later on, we placed a second order to this same supplier concerning “Travelling clocks” ( 28 000 pcs). The PPS samples were ok, but later on we realized that the general quality of mass production was just a disaster
Inspection report from AQF failed the inspection.
Since then, we started tough negotiation with the supplier, asking him to fix/reproduce the goods. We carried out many other inspections and Monitoring (6 at total !) with AQF and ASIA INSPECTION but result was still the same : quality was really unacceptable.
As a result, we were obliged to arrange the sending of 5,040 pcs by UPS express to avoid our client penalties (3.5€/pc !!!), entirely at our charge. Despite all that, only 2476 were accepted by our client (due to very poor quality). The supplier has never taken his responsibilities and he wanted us to accept/pay the balance quantity as they were, of course that was simply unthinkable on our side.
According to that, we only paid the deposit to the supplier, and we did not pay the balance knowing that all products would be logically rejected by our client.
This supplier lied to us from the very beginning and has never tried to delivered acceptable products. We have done everything on our side to solve this situation (carry many inspections with different companies at our charge, try to find another supplier to help NISSIS to reproduce, we pay for UPS express freight, try to solve the problem with AQF, carry out a new sorting in France, etc….) but this supplier never took any responsibilities , all the contrary :
Once the 318 000 mouse pads (order which was ok) were on their way and the vessel should arrive soon, the supplier had only send us the copies of B/L. At that moment, we had paid 100% of the goods.
BUT: The supplier did not want to send us the original B/L if we wouldn’t pay her the balance quantity of traveling clocks. He totally mixed 2 different orders (for 2 different clients ) and he definitely did blackmail us in stealing our company money !
So the situation was getting even more critical for us, since we might delay/cancel the order with our biggest client (and this supposes huge penalties costs and that we lose our biggest client).
Finally, we had no other choice to pay the supplier ($25 000 for unacceptable and useless goods) in order to avoid other huge troubles with our client.
So as you can easily understand, this supplier caused dramatic situation for our company and we have to prevent it to happen again in the future.
That is why we want to tell others about this terrible supplier. Of course, please feel free to contact us if you need any more information. Our above business partners (AQF, Asia Inspection) could easily testify and confirm my words.
Hugues de Lachaise
Zac du Moulin – Master Park-
435 rue de Marquette – Entrée C –
59118 Wambrechies France