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Sourcing for Amazon FBA: China vs. Domestic Options

Apr 2, 2025

Joel Turcotte Gaucher

Split screen comparing Chinese and domestic product sourcing visuals
Split screen comparing Chinese and domestic product sourcing visuals

Sourcing for Amazon FBA: China vs. Domestic Options

You’ve validated your product idea. You know what you want to sell. Now comes a critical decision:

Should you source from China—or look for a supplier in your home country?

At Flapen, we’ve helped launch over 100 private label brands and managed sourcing from both China and domestic suppliers (U.S., U.K., EU). There’s no one-size-fits-all answer—the right choice depends on your goals, product type, budget, and timeline.

In this guide, we’ll break down the pros and cons of each approach, share real-world insights, and help you make the best sourcing decision for your Amazon FBA business.

Table of Contents

  1. Why Your Sourcing Strategy Matters

  2. China Sourcing: Pros and Cons

  3. Domestic Sourcing: Pros and Cons

  4. When to Source from China

  5. When to Source Domestically

  6. Hybrid Sourcing Strategy

  7. Final Thoughts

1. Why Your Sourcing Strategy Matters

Your supplier impacts everything:

  • Product cost and profit margin

  • Lead time and inventory planning

  • Packaging, customization, and branding flexibility

  • Compliance with Amazon FBA requirements

  • Scalability of your business

A great product with a weak supply chain will fail. A solid supplier relationship gives you control and confidence as you scale.

2. China Sourcing: Pros and Cons

For most private label products, China remains the go-to option for a reason.

✅ Advantages of Sourcing from China

Benefit

Why It Matters

Lower production costs

Ideal for building margin or offering competitive pricing

Access to wide variety

Huge selection of products and customization options

Private label friendly

Many factories specialize in logo printing and packaging

Established export experience

Familiar with Amazon FBA and global shipping logistics

Larger production capacity

Easier to scale orders once your brand grows

❌ Drawbacks of Sourcing from China

Limitation

What to Watch For

Longer lead times

25–45 days for production + 15–30 days for shipping

Time zone differences

Delays in communication (especially during holidays)

Higher MOQs

Many factories require 300–500 units minimum

Language/cultural barrier

Misunderstandings if communication isn’t clear

Import complexities

Customs, duties, and FBA shipping must be well coordinated

🧠 Flapen’s China-based team helps simplify sourcing by handling factory vetting, negotiation, quality control, and DDP shipping—so sellers avoid delays and cost overruns.

3. Domestic Sourcing: Pros and Cons

Some sellers choose to manufacture or source their product locally—especially in the U.S., Canada, U.K., or EU.

✅ Advantages of Domestic Sourcing

Benefit

Why It Matters

Faster turnaround time

7–14 day lead times are common

Easier communication

Same time zone, fluent language

Simplified logistics

No import duties, customs, or freight issues

Lower MOQs

Many domestic makers accept smaller test orders

“Made in [Country]” appeal

Can be a unique selling point for some niches

❌ Drawbacks of Domestic Sourcing

Limitation

What to Consider

Higher cost per unit

Often 2x–4x compared to Chinese manufacturers

Limited customization

Fewer options for custom molds, finishes, or packaging

Smaller supplier base

May be hard to find domestic suppliers in certain categories

Private label experience

Fewer suppliers understand FBA or branding expectations

🚫 If you’re selling a common product (like water bottles, utensils, yoga mats), U.S.-based manufacturers may not be competitive on price or customization.

4. When to Source from China

China is usually the better option when:

✅ You want to maximize profit margin
✅ Your product is standardized (kitchenware, home goods, tools)
✅ You’re planning to scale to 500+ units/month
✅ You need custom packaging, logo, or bundling
✅ You can wait 4–8 weeks for your first inventory batch

📦 Flapen helps clients source directly from factories in China, negotiate pricing, inspect quality, and ship products DDP to Amazon FBA.

5. When to Source Domestically

Domestic sourcing may be a better fit when:

✅ You want to test the market quickly with a small batch
✅ You have a high-margin niche (e.g., supplements, handmade items)
✅ You need fast restock cycles (less than 2 weeks)
✅ Your product requires certifications or regulations (cosmetics, food-grade goods)
✅ “Made in USA/UK/EU” is a selling point to your target customer

💡 Flapen can also support hybrid models—where you launch small with domestic suppliers, then scale production in China once demand is proven.

6. Hybrid Sourcing Strategy

Many successful brands use both domestic and Chinese suppliers at different stages:

Phase

Strategy

Initial Launch

Domestic supplier for speed + test

Post-validation

Switch to China for scale + margin

Backup inventory

Domestic supplier as emergency restock option

Bundling

Mix domestic and Chinese items for kits

This flexible approach lets you balance speed, cost, and reliability.

7. Final Thoughts

Sourcing is more than just finding the cheapest price. It’s about choosing a partner that supports your launch goals, margin targets, and brand positioning.

To recap:

If your goal is…

Your best sourcing option is…

Max profit and scale

✅ China

Quick test and fast delivery

✅ Domestic

Custom branding and packaging

✅ China

Simpler logistics and lower MOQs

✅ Domestic

Long-term global growth

✅ China (with strong QC + support)

At Flapen, we help new sellers make confident sourcing decisions—whether it’s through our China team or by identifying qualified local suppliers.

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