Send Business Payments from Canada to China

Canadian companies maintain strong trade ties with China, and international payments are a regular part of business operations. Businesses send money from Canada to China for many reasons: paying suppliers for manufactured goods, covering contractor invoices, funding payroll, managing royalties, or more. Each transfer depends on settlement speed, the exchange rate applied, and the total cost of moving funds internationally.

This guide explains how to send money from Canada to China for business, what costs to expect, compliance requirements, and how to manage FX risk. It also compares providers and shows why choosing the right partner makes a difference for cash flow and supplier relationships.

Canada-China trade corridor: why payments matter

Trade between Canada and China remains one of the busiest global corridors. In 2024, Canadian exports to China totalled about US$21.11 billion in goods such as agriculture, energy, minerals, and machinery. With this scale of activity, Canadian firms regularly need to send business payments to China for shipping, supplier contracts, and cross-border services. Each payment is a critical link in global supply chains, making efficient transfers essential to keep production on track, avoid bottlenecks, and strengthen long-term trade relationships.

The real cost of sending money to China

Exchange rates and spreads

The CAD to CNY exchange rate is one of the most significant cost factors for Canadian businesses. Banks typically embed hidden markups on top of the mid-market rate, so companies end up paying more than the interbank rate available in global markets. Even a small difference can become costly when multiplied across large or frequent transfers.

Transfer and intermediary fees

Traditional business wire transfers to China may pass through several banks before reaching the supplier. Each intermediary can deduct fees, reducing the final amount received and creating uncertainty about how much truly arrives.

Volatility risk

The Canadian dollar’s value against the Yuan fluctuates with commodity prices, interest rate shifts, and global market sentiment. Even minor movements in the CAD to CNY exchange rate can translate into meaningful differences for suppliers. For example, a CAD 50,000 transfer at 5.20 delivers 260,000 CNY, but at 5.16 the supplier receives only 258,000 CNY, a loss of 2,000 Yuan on a single payment. For companies making regular transfers, these swings accumulate quickly, affecting invoices and cash flow planning.

Understanding the costs of sending money to China for business is essential, and partnering with MTFX through a business account makes this easier by providing live exchange rates, transparent pricing with no hidden charges, and more predictable transfers.

Compliance and regulatory checkpoints

When sending money from Canada to China, businesses must follow regulatory requirements in both countries. These rules ensure transparency in international payments and help reduce the risk of delays.

Canada:

Businesses must comply with FINTRAC rules under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act. Any transfer above CAD $10,000 requires proper reporting and record-keeping.

China:

Payments typically require supporting documents such as invoices or contracts to validate the purpose of the transfer, along with accurate beneficiary details, including the recipient’s full name, bank account information, and SWIFT code.

Banking details:

Accurate beneficiary information, such as the SWIFT code and account number with a Chinese bank, is critical. Even small errors can result in delays or rejections.

Meeting these requirements is essential to avoid disruptions. Partnering with MTFX gives Canadian businesses a trusted platform for global transfers, with expertise in cross-border B2B payments to China that helps navigate documentation and ensure compliance at every step.

Speed and reliability of transfers

Traditional SWIFT wires from Canadian banks to China can take two to five business days to settle, creating challenges for companies that need to pay Chinese suppliers on time. MTFX reduces settlement times by minimizing intermediaries and using direct routing, allowing many transfers to arrive the same day or the next business day.

Reliability is equally important. Factors such as time zone differences, incomplete payment details, or public holidays in either country can cause delays. By working with a provider that offers clear tracking across every stage of the transfer, businesses gain visibility, reduce uncertainty, and maintain greater control over their cross-border payments.

Why do companies send business payments to China?

Canadian firms send money to China for a wide range of needs, from imports and payroll to services and logistics. These transfers keep supply chains steady, ensure staff and contractors are paid, and maintain strong partnerships across industries.

Paying Chinese suppliers

Canadian firms import machinery, electronics, consumer goods, textiles, and more from China, which makes timely supplier payments essential to keep shipments moving. Companies that pay suppliers accurately and in the correct currency avoid costly disruptions. Traditional bank wires add costs through marked-up exchange rates and extra transfer fees, which reduce margins. Using a specialist in cross-border B2B payments to China reduces costs, speeds up settlement, and protects cash flow, ensuring suppliers remain satisfied and goods are delivered without delays.

Covering payroll and contractors

Many Canadian companies employ staff or contractors in China, and payroll must be settled in Yuan. Contractors also expect reliable business wire transfers to China, with delays potentially affecting projects and delivery timelines. Using a global payments service for Canada–China trade allows firms to manage monthly payroll transfers more efficiently, reduce costs, and mitigate exposure to sudden FX swings.

Paying royalties, licenses, and services

Beyond imports and payroll, Canadian businesses also send funds for IT support, design services, or licensing agreements. These often require regular payments in local currency, and high bank fees or settlement delays can strain partnerships. Choosing the best way to send a large payment to China from Canada gives businesses clearer control over costs, accurate record keeping, and stronger compliance.

Settling invoices for logistics and projects

Canadian firms also cover costs for shipping, warehousing, and joint projects in China. Reliable settlement of these invoices is critical to keep supply chains moving. Delays can hold goods at ports or stall research initiatives, while experienced providers help ensure payments reach Chinese businesses quickly and predictably.

Managing FX risk on CAD to CNY transfers

Fluctuations in the CAD to CNY exchange rate can directly impact business budgets and profit margins, making it essential for companies to manage currency exposure proactively. Many firms reduce this risk by tracking daily rates with MTFX’s daily exchange rate lookup, setting up rate alerts to act when movements are in their favour, and using multicurrency accounts to hold Yuan balances and avoid unnecessary conversions. Integrating these tools into a broader FX strategy helps protect against sudden swings and keeps cash flow more predictable.

Comparing providers for Canada-China transfers

Banks

While banks remain a common choice for cross-border payments, they are often the most expensive option. They  apply wide FX spreads, charge multiple fees, and take longer to process transfers, with limited visibility over the final cost.

Brokers

Some brokers offer better rates than banks, but many lack advanced digital tools or integrated solutions to support high-volume or recurring business transfers.

Fintech platforms

Specialist platforms like MTFX combine competitive rates with faster settlement times, automation, and planning tools. We support global payment services for Canada–China trade with features like bulk payments and clear end-to-end tracking.

The future of business payments to China

Canada and China are modernizing their payment systems to support faster and more transparent cross-border transfers. Advances in digital infrastructure, fewer intermediaries, and stronger regulatory alignment are expected to reduce settlement times. Companies that adopt platforms with transparent FX rates, payment automation, and strong compliance features will be better positioned to manage costs and take advantage of a more efficient Canada–China payment corridor.

Managing Canada-China transfers more effectively

Canadian firms trading with China need more than just fast transfers. They require predictable costs, compliance support, and tools to manage FX exposure. We provide competitive CAD to CNY rates, same-day or next-day settlement, and planning tools that give businesses greater control over supplier payments, payroll, and other international transfers.

Take the next step: open a business account with MTFX and manage your payments with competitive CAD to CNY rates, faster settlement, and full visibility, keeping suppliers paid and operations running smoothly.

FAQs

1. What is the best way to send money from Canada to China for business?

The best way to send money from Canada to China for business is through MTFX. We use live exchange rates, reduce hidden fees often charged by banks, and provide faster settlement, giving companies a more cost-effective and reliable option for international transfers.

2. How long does it take to transfer CAD to CNY for suppliers?

Bank wires may take 2–5 business days. With MTFX, transfers often arrive the same day or next business day.

3. Do I need a Chinese bank account to pay suppliers in China?

No. Canadian companies do not need to open a Chinese bank account. With an MTFX business account, payments can be sent in local currency directly from Canada to a supplier’s account, removing the need to manage overseas banking.

4. What documents are needed for compliance?

Invoices, contracts, beneficiary details, and the stated purpose of the payment are usually required. MTFX helps businesses meet compliance when they send business payments to China from Canada.

5. How can I reduce the costs of sending money to China for business?

Monitor the CAD to CNY exchange rate for businesses, use rate alerts, and choose providers that offer transparent pricing without multiple bank deductions.

6. How to send large payments to China from Canada through MTFX?

Businesses can send large transfers through MTFX by using a bulk payment solution. This service works well for high-value invoices, supplier contracts, or payroll needs. MTFX offers competitive CAD to CNY rates and clear tracking, so payments arrive quickly without extra costs.

Take the next step: open a business account with MTFX and manage your payments with competitive CAD to CNY rates, faster settlement, and full visibility to keep suppliers paid and business operations running smoothly.

Sources:

https://tradingeconomics.com/canada/exports/china

https://fintrac-canafe.canada.ca/individuals-individus/rpt-eng