由 caicai8478 As the new global hotbed for new energy, the Southeast Asian market has attracted countless Chinese battery companies to expand. The market potential is enormous, but the challenges are far greater than we might imagine. We ventured forth with high-quality products and full confidence, yet often stumbled at seemingly simple steps. Today, let’s review the battery export pitfalls we’ve faced over the years, with our hard-earned money.
The First Pitfall: Certification Confusion – Not All “Passes” Are Called CE/UL
This was our first and most significant setback.
Myth: Assuming international certifications like CE and UL guarantee unimpeded access to Southeast Asia.
Reality: Each Southeast Asian country has its own unique entry standards. While they may reference international standards, the detailed requirements vary significantly.
Thailand: TISI certification is mandatory. This is especially true for energy storage and power batteries. Without the TISI mark, customs clearance is impossible and may even result in immediate destruction.
Vietnam emphasizes CR certification. This is Vietnam’s mandatory quality mark, with a complex process requiring both testing and factory inspections.
Indonesia: SNI certification is a key stepping stone. The application process is long and has strict local testing requirements, often requiring samples to be sent to a local Indonesian laboratory.
Malaysia: ST/COC certification is crucial. While some products can be transferred from CB reports, the process still needs to be completed by a local agency.
Lessons learned the hard way: Before approaching any new client, the first thing to do isn’t to get a quote, but to clearly ask, “Which country is your target market? What certification is required?” Then, based on the certification timeline and cost, reassess the feasibility of the project. Otherwise, the goods may be stuck in customs clearance at the port, and the daily demurrage fees can be excruciating.
Second pitfall: Transportation “horrors”—you can’t just apply the “dangerous goods” label.
Batteries are classified as Category 9 dangerous goods, making their transportation a fraught process.
The pain of underreporting/misreporting: A competitor once misreported lithium batteries as ordinary electronic products to save on shipping costs and paperwork. As a result, the shipping company seized the entire container, detained it, and faced hefty fines. The company was also blacklisted, effectively banishing them from shipping again. This is a matter of principle; we must not take chances.
Missing MSDS and UN38.3: These are the “identity card” and “physical examination report” for battery exports.
UN38.3 testing: A safety test report simulating transportation conditions is a prerequisite for all sea and air shipments. Without it, no reputable freight forwarder will accept an order.
MSDS: A Material Safety Data Sheet details the battery’s chemical composition, hazards, and emergency disposal procedures. It’s required for customs clearance, booking, and dangerous goods declarations.
The “devil’s detail” of packaging: Batteries must be packaged in UN-compliant dangerous goods packaging (such as UN boxes). We once had a port request to open the box for inspection and repackaging because the UN marking on the outer packaging wasn’t clearly printed, delaying our shipment by a week. Each battery must have its own inner packaging to prevent short circuits, and the cartons must meet standards for stacking strength and waterproofing.
Lessons Learned the Hard Way: Be sure to find a freight forwarder with extensive experience handling hazardous materials. Prepare a full set of compliance documents in advance and thoroughly inspect the packaging. Don’t skimp on this!
The Third Pitfall: Customs Clearance “Rashomon”—Just because the buyer says “customs clearance is guaranteed,” do you believe it?
This is the part that truly tests trust and contractual integrity.
The Allure and Trap of “Double Clearance and Duty Package”: Many Southeast Asian customers ask their designated agent to handle “double clearing and tax package” (i.e., export customs clearance and import customs clearance and taxes in the destination country). This sounds worry-free, but it’s extremely risky. If their agent is unreliable and the goods are detained by the destination country’s customs, not only will you not receive the final payment, you could also lose ownership of the goods. We once had a shipment that was seized by Thai customs due to an agent’s underdeclaration, resulting in the loss of both goods and money.
Importer Qualifications: In many Southeast Asian countries, buyers of imported batteries must possess the appropriate import licenses. If the buyer lacks these licenses, your goods won’t be able to clear customs at the port.
Tariffs and Invoices: Customs in some countries conduct strict price assessments on battery products. It’s recommended to clearly list product ingredients and unit prices on the commercial invoice and prepare a certificate of origin (Form E, which qualifies for ASEAN tariff preferences) to address customs inquiries.
Lessons learned the hard way: Insist on using FOB or CIF terms whenever possible and maintain the right to choose a freight forwarder. Even if you accept “double customs clearance,” the contract must clearly define responsibilities: Any losses resulting from customs clearance issues will be borne by the buyer and their designated agent. Also, be sure to adopt a more conservative payment strategy, such as increasing the down payment ratio and paying the balance upon seeing a copy of the bill of lading.
The fourth pitfall: The technological “gap”—your “fast charging” may not be able to cope with their “power grid.” Products and technologies also need to adapt to local customs.
Climate adaptability: Southeast Asia’s high temperatures and humidity place extremely high demands on the battery’s BMS (battery management system). Our early batches of batteries shipped to the Philippines experienced cycle life far below our promised limit due to prolonged high-temperature operation and inadequate heat dissipation, resulting in numerous customer complaints.
Charger compatibility: Unstable local power grid voltage is common. Your standard “smart fast-charging” charger may be damaged by voltage fluctuations. The charger must be adaptively designed and tested for the local power grid environment.
After-sales and Technical Support: Batteries aren’t a one-time deal. How can you establish even the most basic after-sales testing points locally? How can you train local technicians to perform simple troubleshooting and maintenance? Without local support, brand credibility will quickly collapse if problems arise.
Lessons Learned: Before exporting, products must undergo targeted “tropicalization” modifications and testing. At the same time, you need a long-term perspective. Either establish deep partnerships with reliable local distributors and have them handle after-sales service, or invest resources in-house to establish a lightweight technical support team.
The Fifth Pitfall: Payment Undercurrents – “Cash on Delivery” sounds appealing. Overseas payment collection is a major concern for many companies.
“Soft Clauses” in Letters of Credit: Southeast Asian customers sometimes open letters of credit, but these may contain hidden “soft clauses,” such as “payment subject to customer inspection report,” which completely hand over the payment process to the other party, posing an extremely high risk.
The inertia and frustration of delayed final payments: Delayed payments are a common business practice in some markets. Once the goods arrive at the port, they’ll claim customs clearance issues; after the goods are picked up, they’ll claim minor quality issues. Once the final payment percentage is negotiated low, the difficulty of collecting it increases exponentially.
Lessons learned the hard way: Insist on a payment method of “upfront payment + final payment upon seeing a copy of the bill of lading,” tying the final payment to the document of title (bill of lading). For new customers, the down payment percentage should be no less than 30%, and the original bill of lading should not be released until the final payment is paid.
Summary: Our Tips for Avoiding Pitfalls
Certification First, Regulations King: Certification research must precede market activity.
For dangerous goods transportation, professionalism is the only way forward: Documentation, packaging, and freight forwarding—none of this is negotiable.
Strict contracts with clear responsibilities and rights: Customs clearance responsibilities and payment terms must be clearly documented and impeccable.
Product localization, not simply exporting: Optimize products based on local conditions and usage habits.
Cash flow is your lifeline: It’s better to take fewer orders than one that could wipe out your entire business.
The road to international expansion is long and arduous. We hope the pitfalls we’ve encountered can serve as a guiding light for you on your journey. We wish you all success in your international expansion and prosperous business!