How to Pay Suppliers in China?

Last Updated: 11 May 2023

When sending money to pay suppliers in China, the right exchange rate can increase your profit margins and save you thousands of dollars.

China is packed with numerous manufacturing hubs making it an integral part of the global supply chain and digital economy. In fact, many shipping containers regularly make their way from Chinese ports to Canadian shores as companies restock their inventory. According to Global EDGE, China is number two on Canada’s list of Top 10 import countries.

So, as goods are imported into Canada from China, it naturally follows that many Canadian companies need to send money to Chinese suppliers. Given the large-scale and long-term nature of these transactions, finding the best exchange rates is key to profitability.

How to Send Money from Canada to China?

Transferring money from Canada to China can be done through various methods, such as online transfer services or banks. To guide you through the process, we've outlined the following steps:

Determine your preferred method based on your needs for speed and security.
Collect the necessary recipient information, such as bank details and contact information.
Initiate the transfer and be aware that processing times may vary depending on the chosen method.
Track the transfer's progress to ensure it arrives at its destination.

Best Ways to Send Money To China

The optimal way to send money to China depends on various factors such as speed, security, and cost. However, some of the most common and reliable ways to wire money to China are:

Banks: They are a secure way to send money but may have slower processing times (4-6 days) and higher exchange rates and fees.
Money transfer firms: They are faster than banks, but they may charge higher fees and have less protection from fluctuating exchange rates.
Specialist money transfer services: They offer faster turnaround times (1-2 days) and better exchange rates (3-5% lower) than banks or money transfer firms

If you’re looking for the fastest, safest, and cheapest way to send money to China, your best bet is with a specialist money transfer service. It's essential to compare the rates, fees, and processing times of each method before making a decision.

Why does the USD/CAD or CNY/CAD Exchange Rate Matter?

Most supplier payments from Canada to China are made in US dollars, so the USD/CAD exchange comes into play with each transaction. However, the local currency, the yuan (¥), is increasingly becoming popular, so the CNY/CAD also matters. 

Securing the best available exchange rate means your money is worth more in USD or Yuan. China has been dubbed the “World’s Factory,” so it’s no surprise that many Canadian companies want a piece of the pie. 

These companies can save thousands of dollars individually and millions collectively each year by reducing the cost of large-amount FX exchange conversions. 

Here’s a quick example and eye-opener: If you purchase a shipment of goods worth $50,000 USD from China, an exchange rate that’s 5% better than traditional banks saves you $2,500 and gives you more purchasing power.

Ready to send money to China from Canada to pay suppliers? Take a quick peek at the USD/CAD or CNY/CAD current trend to discover the most favorable currency pair at the time of payment.

Benefits of Transferring Money to China

If you’re tired of settling for the high transfer fees and slow payment processing offered by conventional banks, a foreign exchange specialist like MTFX can help you keep more of your revenue. More specifically, a currency specialist like MTFX offers the benefits:

Better rates. MTFX has rates that are 3-5% better than banks, so you get the best value for money with any other transfer option.
Lower fees. Forget about high transfer fees and additional bank charges. With MTFX, you get competitive transfer fees and no nasty surprises.
Secure and convenient online platform. Get ready to streamline your Chinese supplier payments, which goes a long way toward improving your relationship with your suppliers.
Fast processing payments. Your Chinese suppliers can receive funds within 28-48 hours. Do you know that paying your dues quickly and efficiently gives you more negotiating power to improve payment terms?

What Bank Details are Needed to Transfer Money to China?

When sending money to China from Canada, you will need: 

Beneficiary name
Beneficiary address
Beneficiary account number
Bank address
Bank name
Bank Swift code
Reason for transfer

Send Money to China Today

There’s an easy and hard way to pay suppliers in China. Banks are notoriously expensive, so that leaves foreign exchange specialists like MTFX to cushion you from wild currency exchange rate fluctuations and high currency conversion costs.

Register for an MTFX business online account today and start paying your vendors in China the easy way.

FAQs - How to Send Money to China?

Can I Send Money to China Bank Account Online?

Yes, you can easily send money online to a bank account in China to settle your outstanding invoice using MTFX's secure online platform. Once you have registered for a business account, you can access it anytime, anywhere, 24/7. Additionally, you can automate your payments, freeing up time to focus on core business matters. MTFX specialists are also available to offer expert guidance should you need it.

Who uses MTFX to Send Money to China?

Many Canadian companies make business transfers to pay suppliers in China. According to Research Gate, Canada’s top imports from China include:

Electrical or electronic machinery and equipment
Furniture
Clothing, apparel, and footwear
Toys, games
Sporting equipment

This is just the tip of the iceberg, as many Canadian companies use MTFX to send money to China to purchase a wide range of goods.

How Long Does it Take to Transfer Funds to China with MTFX?

With MTFX, it takes only 24-48 hours to transfer funds to China. This fast turnaround time is essential for maintaining punctuality in business, as it helps you establish a professional image and build trust with your overseas suppliers. With MTFX's speedy services, you can ensure that your suppliers receive their payments within an acceptable timeframe.

Is it Safe to Transfer Money Abroad?

Yes, you can transfer money abroad safely with MTFX. Our secure online platform is available 24/7 from any location, ensuring that your payments are sent on time, every time. You can rest assured that your money is safe and secure with MTFX.

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