Hidden commissions and kickbacks can still be found in China sourcing, and many importers are unaware that they’re paying for them. In this episode, Adrian and Renaud unpack how these schemes work, how agents and trading companies quietly erode your margin, and what a more transparent, safer sourcing model looks like.

00:00 – Intro & today’s topic: hidden commissions in China sourcing

01:32 – Agents vs trading companies: who are you really buying from?

03:01 – When a middleman does add value (and when they don’t)

07:48 – Transparent trading companies acting as a factory’s sales office

12:44 – Buyer-side agents, double commissions, and why it’s so tempting

18:01 – How traders quietly erode your margin with small opaque factories

21:48 – Short-term thinking, “circles” of trust, and why you’re outside of it

24:44 – Red flags with agents: pricing control, commission structure, and resistance to change

25:47 – Red flags with traders: factory visibility, visits, and compliance documents

26:56 – Moving to a safer model: when you may need a completely new supply chain

29:14 – Simple health-check: how well do you really know your supply chain?

31:00 – Why a lack of visibility puts your IP and business at risk

31:42 – Wrap-up, “health check your sourcing” call-to-action, and Sofeast support

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