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The valve procurement industry requires payment upon completion of equipment commissioning – what to do if the commissioning is delayed?

2022-10-09View Original

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It’s very difficult to determine when payment should be made after debugging; it’s entirely up to the buyer. The delivery date of the purchased items is naturally based on the planned construction timeline, but if the project is delayed or the installation is postponed, I wouldn’t dare to make the payment even if I wanted to. Since the valve has not been used in actual material handling, it is unclear whether it will function properly; the client will only be willing to pay for the commissioning and testing after the installation is put into operation
Reply #22022-10-10
The key is to have clear terms in the contract; if the payment deadline is set in line with the estimated construction period, you must make the payment. Because delays and other factors have nothing to do with the supplier. For reference.
Reply #32022-10-10
This is the tragedy of traditional valves: it’s a buyer’s market, with sellers having no leverage at all; if you don’t accept these terms, there are plenty of others who will. Products with patents from our factory do not have such problems. We will not ship the goods until 90% of the total contract amount has been paid. The remaining warranty period also starts from the date of delivery. As for whether the valves work well or not, numerous third-party monitoring and certification agencies have already verified this. If the client still refuses to accept it, what’s the point of us providing a SIL3 certification?
Reply #42022-10-10
These days, many valves are sold as one set, but actually made as another set in the factory
Reply #52022-10-10
It is only with traditional valves that such chaotic management occurs; manufacturers rely on sales teams, and it is because sales teams have significant influence that this situation arises. If a product is irreplaceable or very difficult to replace, then such problems do not occur. Think about those high-end valves that still need to be imported today – when was it that such terms were used? All orders are placed in full payment! Production will be arranged, with a delivery time of 18 months!
Reply #62022-10-10
The salesperson should base their statements on the company’s information; how can they say one thing and do another?
Reply #72022-10-10
Such clients are spoiled; if you don’t accept this payment method, many others will accept it and be eager to take on the project. So it’s not surprising that even the most unusual payment methods exist these days. It’s fine to leave the valve in place for 1-2 years, but try leaving the pump at the site for such a long time – problems will surely arise during the initial tuning period.
Reply #82022-10-10
Why? Do pumps age? ?
Reply #92022-10-10
If the pump remains unused for 1–2 years, it becomes impossible to rotate its shaft, various abnormal noises occur, and problems such as dry grinding that leads to damage of the mechanical seal arise during tests run without liquid present. The client has plenty of reasons to ask the contractor to visit the site several times. You should know that when Party B rushes to the site to provide services, they still act submissive, as they haven’t received the payment yet.
Reply #102022-10-10
They keep asking you to go; will you go? ? ? ?

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