China Foundry Audit Checklist: 20-Point Inspection Guide for Buyers

A Chinese foundry's certifications look good on paper. Their website shows impressive equipment photos. But can they actually deliver? This 20-point audit checklist will tell you the truth — before you commit to a production order worth tens of thousands of dollars.

Before the Audit: Pre-Qualification Checklist

Start your due diligence before visiting. Gather these documents first:

• ☐ Business license (营业执照) — verify registration number via https://www.gsxt.gov.cn
• ☐ Quality certifications: ISO 9001, IATF 16949, ISO 14001 certificates (verify via CNCA: cx.cnca.gov.cn)
• ☐ Export experience: ask for reference clients in your region/industry
• ☐ Financial statements or credit report (for large orders)
• ☐ Product photos and sample parts (request before visiting)

Section 1: Company & Management (4 points)

Point 1: Business License Verification

Check at https://www.gsxt.gov.cn (China's National Enterprise Credit Information Publicity System):

• Company name matches exactly
• Registered capital matches claims
• Business scope includes your process (casting, machining, etc.)
• No adverse records (被列入经营异常名录)
• Check if registered in industrial zone vs. residential area (suspicious for manufacturing)

Point 2: Ownership Structure

Who actually owns and runs this foundry?

• State-owned enterprises (SOEs) have different risk profiles
• Family-owned foundries may lack professional management depth
• Foreign-owned (WOFE) operations often have better quality systems
• Ask about succession planning and management continuity

Point 3: Years in Business

Foundry expertise takes time:

• <3 years: high risk of instability and quality inconsistency
• 3–10 years: moderate experience, verify references
• 10+ years: established, but verify they haven't degraded
• Ask when they last upgraded equipment

Point 4: Engineering & R&D Capability

Look for:

• Dedicated engineering team (ask for names and titles)
• In-house tooling design capability (reduces outsourcing risk)
• Quality engineers separate from production department
• CAD/CAM capability for pattern and mold design
• Any patents, proprietary processes, or technical partnerships

Section 2: Equipment & Facilities (5 points)

Point 5: Melting Equipment

The heart of any foundry:

Point 6: Molding Equipment

• Automatic molding lines: productivity and age
• Manual molding: acceptable for low-volume but assess skill level
• Shot blasting equipment: type and condition
• CNC machining capacity for post-casting operations
• Heat treatment furnaces: type (batch vs. continuous), temperature range, atmosphere control

Point 7: Capacity Assessment

Ask to see production records for the past 3 months. Verify:

• Maximum monthly output (tonnage) — can they meet your volume requirements?
• Current utilization rate — a foundry at 90%+ capacity may struggle with your order
• Typical batch size they handle
• Any existing large orders that could delay yours

Point 8: Environmental & Safety Compliance

Chinese environmental regulations are strict. Verify:

• Environmental Impact Assessment (EIA) — ask for permit number
• Air emission control equipment (dust collectors, filters)
• Waste water treatment
• Safety equipment: PPE, fire extinguishers, emergency exits
• Workers wearing appropriate PPE

Point 9: Workshop Organization (5S)

Visual assessment of management quality:

• Is the foundry floor clean and organized?
• Are patterns and tooling properly stored?
• Is there a dedicated inspection area?
• Are finished parts segregated from raw materials?
• Are work instructions posted at stations?
• Does it smell of burning sand or oil? (Excessive burning indicates poor maintenance)

Section 3: Quality System (4 points)

Point 10: Quality Management System

Beyond certificates, verify actual implementation:

• Is there a documented quality manual?
• Are there written procedures for key processes (incoming inspection, process control, final inspection)?
• Is there an internal audit program? Ask to see recent audit records
• What is the organization chart of the quality department?
• Is quality department independent from production management?

Point 11: First Article Inspection (FAI) Process

Ask to see their FAI process documentation. For a new part, they should:

1. Review drawings for manufacturability
2. Create or approve tooling
3. Produce sample (first article)
4. Complete dimensional inspection (CMM or manual)
5. Produce material test report (spectrographic analysis)
6. Document results and obtain customer approval before production

Point 12: Non-Conformance & Rework Process

Ask to see NCR records (non-conformance reports) from the past 3 months:

• How many NCRs were issued?
• What was the root cause and corrective action?
• Is there a CAR (Corrective Action Request) process?
• Rework rate: what percentage of parts require rework?
• Scrap rate: what percentage is scrapped?

Point 13: Traceability System

Traceability from raw material to finished part is essential for quality control:

• Are heat/batch numbers tracked through the production process?
• Can a finished part be traced back to the specific melt, mold, and worker?
• Is there a batch segregation system to prevent mixing?
• How long are records retained?

Section 4: Testing & Inspection (4 points)

Point 14: Incoming Material Testing

Raw material quality determines casting quality:

• Spectrometer for chemical composition analysis (OES — Optical Emission Spectrometer)
• What percentage of raw materials are tested?
• Are certificates of conformance (CoC) required from raw material suppliers?
• How are incoming materials quarantined and released?

Point 15: In-Process Inspection

• Molding inspection: core placement, mold assembly
• Pouring temperature and timing control
• Fettling/grinding inspection (surface defect assessment)
• Heat treatment process monitoring (temperature, time, cooling rate)
• CMM availability: how many CMM machines, what size?

Point 16: Non-Destructive Testing (NDT)

Verify NDT capability matches your requirements:

Point 17: Material & Mechanical Testing

• Tensile testing machine: capacity, calibration
• Hardness tester (Brinell/Rockwell)
• Impact testing (Charpy): required for some applications
• Frequency of mechanical testing (per melt, per batch, per lot?)
• Third-party lab usage: which labs do they use?

Section 5: Documentation & Communication (3 points)

Point 18: Documentation Package for Export

Verify they can produce international shipping documents:

• Commercial invoice with HS codes
• Packing list
• Certificate of origin (Form E, Form A, etc.)
• Bill of lading (sea/air waybill)
• Material Test Reports (MTR) with heat numbers
• Dimensional inspection reports
• Any required certificates (CE, FDA, etc.)

Point 19: Communication & Responsiveness

Quality of communication predicts future relationship quality:

• Response time to your inquiry: days vs. hours
• Do they ask clarifying questions or just quote blindly?
• English capability of technical and commercial staff
• Do they have a dedicated export sales team?
• Preferred communication channel: email, WeChat, WhatsApp

Point 20: Sample Quality & Consistency

Before finalizing qualification:

• Order a sample (even if small) before the first production run
• Test the sample to your full specifications — not just visual inspection
• Order a second sample 3–6 months later to verify consistency
• Compare both samples dimensionally and mechanically
• Check for batch-to-batch variation in surface finish

Audit Scoring Template

Score each section: Pass (3) / Conditional Pass (2) / Fail (1) / N/A

50–60: Approved supplier  |  35–49: Conditional approval with improvement plan  |  <35: Do not proceed