China has over 180 million registered business entities. The vast majority are legitimate, but every year, foreign buyers lose millions to companies that don't exist, misrepresent their capabilities, or disappear after receiving payment. The good news: Chinese company records are more transparent than many foreigners realize. If you know where to look and what to check, you can verify almost any Chinese company in a matter of hours.
This guide walks you through the complete verification process — the same 10-step workflow our team uses every day at Songxin Partners. Whether you're sourcing products, evaluating a distributor, or considering a joint venture, these steps will help you separate real partners from risky ones.
- Get the Unified Social Credit Code (USCC)
- Search NECIPS for Registration Status
- Verify the Business License
- Check the Legal Representative & Shareholders
- Review the Business Scope
- Check Court & Litigation Records
- Check Administrative Penalties & Abnormal Status
- Verify Export Qualifications
- Cross-Reference Third-Party Databases
- On-Site Verification
- DIY vs Professional Verification
- Frequently Asked Questions
Step 1: Get the Unified Social Credit Code (USCC)
Every legally registered business in China has an 18-character Unified Social Credit Code (USCC, 统一社会信用代码). Think of it as the company's national ID number. No two companies share the same code, and it remains the same for the life of the company.
Ask your supplier for their USCC before you discuss anything else. A legitimate company will provide it immediately. If they hesitate, refuse, or give you a code that doesn't verify, walk away.
The USCC has a fixed structure:
- Digit 1: Registration authority type (9 = Industry & Commerce, the most common for businesses)
- Digit 2: Organization type (1 = Enterprise)
- Digits 3-8: Administrative division code (e.g., 440106 = Guangzhou, Tianhe District)
- Digits 9-17: Unique organization code
- Digit 18: Check digit (validation code)
Example: 91440106MAE96WET7L — this tells you the company is an enterprise registered in Guangzhou Tianhe District.
If the supplier doesn't know their USCC, ask for their business license (营业执照, yingye zhizhao). The code is printed in the upper-right corner of the license. You can also ask for the company's full Chinese name, which you'll need for the next step.
Step 2: Search NECIPS for Registration Status
The National Enterprise Credit Information Publicity System (NECIPS, 国家企业信用信息公示系统), accessible at gsxt.gov.cn, is the Chinese government's official public database. It covers all 180 million+ registered business entities and is maintained by the State Administration for Market Regulation (SAMR). This is the single most authoritative source for verifying whether a Chinese company actually exists.
What You Can Find on NECIPS
- Registration details: Company name, USCC, legal representative, registered capital, establishment date
- Business status: Active (存续/在业), revoked, canceled, or deregistered
- Shareholder information: Names and investment amounts of all shareholders
- Annual report filings: Whether the company has filed required annual reports
- Administrative penalties: Government fines or sanctions
- Abnormal business listings: Companies flagged for issues like unreachable addresses or failure to file annual reports
How to Search NECIPS
- Go to gsxt.gov.cn (the interface is in Chinese; use browser translation if needed)
- Enter the company's Chinese name or 18-digit USCC in the search box
- Complete the CAPTCHA (image-based, typically Chinese characters)
- Select the correct entity from the results list (common names may have multiple entries)
- Review the entity profile page for registration data, annual reports, and penalties
Many buyers make the mistake of treating a clean NECIPS result as complete verification. A company can appear perfectly normal on NECIPS — active status, reasonable registered capital, filed annual reports — while simultaneously facing dozens of lawsuits, holding a D-grade tax rating, or operating from a completely different address. NECIPS is the starting point, not the finish line.
Access tip: If you're outside mainland China, gsxt.gov.cn may be slow or intermittently unavailable. Provincial SAMR portals (e.g., Beijing, Shanghai, Guangdong) are sometimes more responsive for companies registered in those provinces. Alternatively, professional verification services like ours have direct database access and can pull records without the access barriers.
Step 3: Verify the Business License
The Chinese business license (营业执照) is the foundational document of any company. Ask your supplier to send a clear, complete scan. Then cross-reference every field against what you found on NECIPS.
Key Fields to Check on the License
| Field | What to Look For |
|---|---|
| Company name (Chinese) | Must match NECIPS exactly — even one character different is a problem |
| USCC | Must match the code you verified in Step 1 |
| Legal representative | The person legally responsible for the company; verify on NECIPS |
| Registered capital | Unusually low capital (under 100,000 RMB for a manufacturer) is a red flag |
| Establishment date | Companies registered less than one year ago carry higher risk |
| Business scope (经营范围) | Must include the activities they claim to perform (e.g., manufacturing, export) |
| Operating status | Should show "存续" (active) or "在业" (operating) |
Pay special attention to the business scope. This field defines what the company is legally permitted to do. A company licensed for "electronic components trading" may not be legally authorized to manufacture medical equipment, even if they claim to. If the business scope doesn't match the supplier's claims, it's a significant compliance risk.
Step 4: Check the Legal Representative & Shareholders
The legal representative (法定代表人) is the person who has the legal authority to bind the company in contracts. This is not necessarily the owner or CEO — it's a specific legal role under Chinese company law. On NECIPS, you can see who this person is and what other companies they're associated with.
Why This Matters
In our practice, we've seen cases where a single legal representative was linked to 15+ companies, most of which had been revoked or were involved in fraud. This is a common pattern in shell company networks. If the legal representative of your supplier is associated with multiple failed or revoked companies, that's a serious red flag.
Similarly, check the shareholder list. Are the shareholders individuals or other companies? If it's a company, trace the ownership chain. China requires disclosure of the ultimate beneficial owner (UBO) for anti-money-laundering purposes, but this information isn't always publicly accessible. For high-value transactions, professional UBO identification is recommended.
Step 5: Review the Business Scope
The business scope (经营范围) on the business license defines what the company is legally permitted to do. This is one of the most overlooked checks in supplier verification, and it catches more problems than you might expect.
Common Scope-Related Issues
- Trading company claiming to be a factory: If the scope says "sales of electronic products" but doesn't include "manufacturing" (生产/制造), the company is a trading company, not a manufacturer — regardless of what their website says.
- No export authorization: If the scope doesn't include "import and export" (货物进出口/技术进出口), the company may not be legally authorized to export directly.
- Scope doesn't match product: A company licensed for "textile trading" but selling industrial machinery should raise questions about their actual qualifications.
For a deeper dive into reading Chinese business licenses, see our guide: China Business License Explained: How to Read Every Field (coming soon).
Step 6: Check Court & Litigation Records
A company's litigation history is one of the most revealing indicators of its business character and financial health. China maintains several public databases for court records:
Where to Check
- China Judgements Online (wenshu.court.gov.cn) — Full text of court judgments. Search by company name. All records are in Chinese.
- Court Enforcement System — Lists companies that lost a lawsuit and failed to comply with the judgment (被执行人/失信被执行人). Appearing on the "dishonest executor" list is a severe red flag.
- Credit China (creditchina.gov.cn) — Consolidated credit information including court judgments, tax ratings, and administrative penalties.
What Litigation Records Can Reveal
- Contract disputes with buyers: Multiple lawsuits from customers for breach of contract or quality issues
- Labor disputes: High volume of employee lawsuits may indicate poor management or unpaid wages
- Debt collection cases: Being sued by creditors suggests cash flow problems
- IP disputes: Patent or trademark infringement lawsuits may indicate counterfeiting
- Enforcement cases: Appearing on the enforcement list means the company lost a lawsuit and didn't pay
These databases are all in Chinese and can be difficult to navigate. The search interfaces can also be unreliable. If you don't read Chinese, this is where a bilingual verification service adds the most value — we can search these databases, translate relevant findings, and assess the legal significance of each case.
Step 7: Check Administrative Penalties & Abnormal Status
Beyond court records, Chinese companies can receive administrative penalties from government agencies for violations ranging from false advertising to environmental infractions. They can also be placed on the "abnormal operation directory" (经营异常名录) for issues like:
- Registered address is unreachable when government inspectors visit
- Failure to file annual reports on time
- Failure to disclose required information
- Providing false registration information
A company on the abnormal operation directory is not necessarily fraudulent, but it's a warning sign. Some companies are placed on the list for minor administrative reasons and are quickly removed. Others stay on the list for years. Check both NECIPS and Credit China for these records.
Step 8: Verify Export Qualifications
If you're sourcing products for export, verify that the company is legally authorized to export. Key qualifications include:
- Foreign Trade Operator Registration (对外贸易经营者备案登记) — Required for direct export
- Customs Registration Code (海关编码) — The company's registration with China Customs
- Export License — Required for certain restricted product categories
- Product-specific certifications: CE, RoHS, REACH, FDA, etc. — always verify with the issuing body, not just the certificate copy
Fraudulent CE, ISO, and RoHS certificates are widespread in China. Never accept a certificate at face value. Always verify with the issuing certification body directly. Some "certification bodies" listed on supplier websites don't even exist — they're created to issue fake certificates. A quick web search of the certification body's name can often reveal whether they're legitimate.
Step 9: Cross-Reference Third-Party Databases
In addition to government databases, several commercial platforms aggregate Chinese company information. These can provide additional context that government databases don't offer:
| Platform | What It Offers | Cost |
|---|---|---|
| Tianyancha (天眼查) | Equity maps, affiliated companies, risk alerts | Free basic; paid full reports |
| Qichacha (企查查) | Similar to Tianyancha, with different data emphasis | Free basic; paid full reports |
| Credit China (信用中国) | Government credit platform, consolidated records | Free |
These platforms are all in Chinese and require Chinese mobile numbers for full access. They're useful for tracing corporate relationships — if your supplier is connected to 20 other companies in the same building, that's worth knowing.
Step 10: On-Site Verification
For high-value partnerships or long-term supplier relationships, nothing replaces a physical visit to the company's premises. Online verification can confirm that a company exists and is legally registered, but it cannot tell you whether they actually have the production capacity, equipment, and workforce they claim.
What an On-Site Visit Covers
- Factory existence: Does the factory actually exist at the registered address?
- Production capacity: Real machinery, production lines, and output capability
- Workforce: Actual number of workers vs. claimed headcount
- Quality control: QC processes, inspection records, calibration certificates
- Working conditions: Safety compliance, fire exits, PPE availability
- Certification authenticity: Physical verification of ISO and other certificates
An on-site audit typically takes 1-2 days and costs between $300-$800 depending on the scope and location. For orders over $50,000, it's a small insurance premium. Learn more about our factory on-site visit service.
DIY Verification vs Professional Verification Services
You can perform Steps 1-9 yourself if you have Chinese language skills and patience. The databases are public and free. But here's what professional verification services add:
| Factor | DIY | Professional Service |
|---|---|---|
| Language barrier | All databases are in Chinese | Bilingual team navigates everything |
| Time required | 4-8 hours per company (if you read Chinese) | 1-3 business days for a full report |
| Data depth | Limited to what free databases show | Access to paid databases + on-ground networks |
| Risk analysis | You interpret raw data yourself | Structured risk scoring with recommendations |
| On-site capability | You'd need to fly to China | Local auditors visit within 2-3 days |
| Report quality | Your own notes | Formal PDF with photos, findings, and risk rating |
| Cost | Free (your time only) | $50-$500+ depending on depth |
Verification is always cheaper than recovery. A $200 verification report can prevent a $200,000 loss.
Need to verify a Chinese company?
Our bilingual team can run a comprehensive verification report within 1-3 business days. Get registration status, legal representative background, litigation records, and risk scoring — all in English.
Start a verification →Frequently Asked Questions
How can I check if a Chinese company is legally registered?
You can verify a Chinese company's legal registration by searching the National Enterprise Credit Information Publicity System (NECIPS) at gsxt.gov.cn using the company's Chinese name or 18-digit Unified Social Credit Code (USCC). The system will show registration status, legal representative, registered capital, business scope, and any administrative penalties or abnormal operation listings.
What is a Unified Social Credit Code (USCC)?
The USCC is an 18-character unique identifier assigned to every legally registered business in China. It functions like a company registration number. The first digit indicates the registration authority type, digits 3-8 are the administrative division code, digits 9-17 are the organization code, and digit 18 is a check digit. Always request this code from your Chinese supplier before doing business.
Can I check Chinese company records for free?
Yes, basic company registration information is available for free on NECIPS (gsxt.gov.cn) and Credit China (creditchina.gov.cn). However, these databases are in Chinese and may be difficult to navigate for non-Chinese speakers. Court judgment records are available on China Judgements Online (wenshu.court.gov.cn), also in Chinese. Professional verification services charge $50-$500+ for English-language comprehensive reports with risk analysis.
How long does it take to verify a Chinese company?
A basic online verification (USCC check, NECIPS search) can be completed in 30-60 minutes if you read Chinese. A comprehensive professional verification report typically takes 1-3 business days. An on-site factory audit requires 1-2 weeks to arrange and complete. The timeline depends on the depth of verification needed and the value of the transaction.
What are the red flags when verifying a Chinese company?
Key red flags include: the company refuses to provide its USCC or business license, the registered capital is unusually low for the claimed business type, the business scope does not include manufacturing, the company was registered less than one year ago, the legal representative is linked to multiple failed companies, or the company appears on the court enforcement list for unpaid judgments.
Is NECIPS accessible outside of China?
NECIPS (gsxt.gov.cn) may be slow or intermittently inaccessible from outside mainland China due to network restrictions. Some provincial SAMR portals (such as Beijing, Shanghai, or Guangdong) may be more responsive for companies registered in those provinces. Alternatively, you can use professional verification services that have direct access to these databases and provide English-language reports.