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Planning production around Chinese New Year

For several weeks a year, most Chinese factories slow down or stop completely. Planning for it is the difference between full shelves and empty ones.

4 min read

In short

  • Many factories close for two to four weeks around Chinese New Year.
  • Capacity is tight in the weeks before the holiday as everyone rushes orders.
  • Some workers do not return, which slows production after the holiday.
  • Place orders early and agree delivery dates in writing.

Why the holiday is so disruptive

Chinese New Year follows the lunar calendar and falls between late January and mid-February. Hundreds of millions of people travel home, and factory workers often take the longest break of their year. Production lines stop, and logistics slow down at the same time.

The rush before

In the six to eight weeks before the holiday, every buyer wants goods shipped before the break. Factories accept more orders than they can comfortably handle, and quality is at its highest risk exactly then.

The slow restart

After the holiday, factories reopen gradually. Some workers change jobs, new staff need training, and output can take weeks to return to normal. Orders placed just before the holiday often finish weeks later than promised.

A simple plan

Work backwards from the date you need the goods, and give yourself margin on both sides of the holiday.

  • Confirm orders and approve samples by early autumn.
  • Ask the factory for its exact closing and reopening dates.
  • Inspect before the factory closes, not after it reopens.
  • Keep extra stock to cover the weeks of slower supply.

Shipping slows down too

It is not only factories. Trucking, ports and freight forwarders also run with fewer people before and after the holiday, and space on vessels is in demand as everyone tries to ship before the break. Book freight early and expect higher rates in the peak weeks.

Use the quiet weeks well

The holiday period is a good time for work that does not need the production line: finalising designs for the next season, preparing packaging artwork and planning the next orders. When factories reopen, your files are ready and your order goes to the front of the queue.

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