- Mar 28, 2018 -
A. Thailand consignee
B. Chinese supplier
C. Alibaba-- International Website
In January 2013,Thai companies searched through alibaba’s website for Chinese suppliers, and purchased a swimming pool for disinfectant.
A. According to the negotiation request, the purchase company of Thailand requires payment by L/C.
Part B Accept payment by L/C.
Part A finally confirmed the business and the payment to the local bank. The L/C will be registered.
Within a short time, Chinese supplier shipped the cargoes out.
Port of loading:Tianjin port,China
Port of destination:Bangkok port,Thailand
On the second day after the ship departured, the Chinese supplier sent all the documents to the bank in an accurate manner and sent the copy to the consignee at the destination port.
The consignee didn’t have doubts about the copy document.
At the same time, supplier applied to Industrial and Commercial Bank of China for the procedure of remittance.
In accordance with international practice, as long as there is a recognition between the countries, L/C remittance is admitted in bilateral trading relationship. Normally, it takes 7-14 days for bank to finish transferring.
If there is no agreement between the countries, the transferring time would be 14 to 28 days. The confirmation letter must be confirmed by international express or by international email.
The Chinese shipper has successfully completed all the settlement procedures, and the bank has released the sum to Chinese shipper before arrival of goods.
When the consignee received the goods in Thailand, it found that the actual goods is not contract goods.
Contract cargo: Swimming pool disinfection supplies
Actual cargo: cement
The consignee of Thailand ultimately bore all the losses, including cargoes’ value, ocean freight, insurance, dock fee, duty, VAT, etc, up to USD 50000.00 in total.