How to pay Chinese suppliers from Saudi Arabia

How to pay a Chinese supplier from Saudi Arabia: the short answer

A Saudi business pays a Chinese supplier in three stages. It agrees the price and payment terms, it pays by bank transfer from an account in the company's own name to the supplier's company account, and it clears the goods through Saudi customs with documents and conformity certificates that match the order. The payment is usually a SWIFT transfer in US dollars. SWIFT is the international messaging network banks use for cross-border payments, and each bank has an 8 or 11 character SWIFT code.

Saudi Arabia does not run exchange controls on trade payments. The US government's Country Commercial Guide states that there is no limitation on the inflow or outflow of funds, and the Saudi Central Bank (SAMA) fixes the riyal at 3.75 to the dollar. The work for an importer sits on the customs side: the SABER conformity platform, the FASAH clearance platform, and a clean set of shipping documents.

The usual sequence for an order from China is:

1. Agree the price, the payment terms and the Incoterm with the supplier, and get a proforma invoice. An Incoterm is a standard trade term, such as FOB or CIF, that sets who pays freight and insurance. A proforma invoice is the supplier's priced quotation for the order.
2. Register the product on SABER and obtain its certificate before the goods ship. SABER is the electronic conformity system of the Saudi Standards, Metrology and Quality Organization (SASO).
3. Pay the deposit by SWIFT from your company's USD or riyal account, quoting the proforma invoice number.
4. Pay the balance against a copy of the bill of lading, or through a letter of credit or a documentary collection.
5. Obtain the SABER shipment certificate, submit the clearance on FASAH at least 48 hours before the goods arrive, and clear them with the commercial invoice, bill of lading and certificate of origin.

This guide covers the Saudi side of each step: the rules, the payment currency, the routes, published bank charges, the documents and the risks of informal routes. For the supplier's side, such as how Chinese factories invoice and why many use a Hong Kong account, see our general guide on how to pay suppliers in China.

Saudi rules: free flow of funds, SABER and FASAH

A Saudi importer does not need central bank approval or a foreign exchange form to pay a supplier abroad. Its bank still carries out its own checks, and it may ask who the supplier is, what the payment is for, and for the invoice on new or large payments. The rules that decide whether the goods clear sit with customs and with SASO.

Customs documents and FASAH

The Zakat, Tax and Customs Authority (ZATCA) runs Saudi customs. According to the US Country Commercial Guide, ZATCA requires a commercial invoice, a bill of lading and a certificate of origin for imports. Importers must complete clearance procedures on FASAH, the national trade platform, at least 48 hours before the shipment arrives at the port of entry, either directly or through a customs broker, and can track the shipment there. The same guide states that all containerized imports at Saudi ports must be palletized, under a phased 12 month rollout that started on 8 May 2025, with exemptions subject to approval.

SABER conformity certificates

SABER is the online system that links importers, SASO-approved certification bodies and Saudi customs. For a regulated product, the importer registers the product, a SASO-approved certification body assesses it, and SABER issues a product certificate of conformity. The importer is then issued a shipment certificate for each consignment, which is sent to customs. For an unregulated product, the importer files a self-declaration with technical files and then receives a shipment certificate. The US government's summary states that customs will only clear products logged through SABER. The obligation sits with the importer, not the Chinese supplier, so start it before you pay the balance.

Sources: International Trade Administration, Saudi Arabia Country Commercial Guide, Import Requirements and Documentation (last published 11 May 2026) and Trade Financing (last published 19 May 2026); International Trade Administration, Saudi Arabia Testing, Inspection and Certification; SAMA, SAMA Affirms Commitment to Exchange Rate Policy. As published on 29 October 2026. Confirm current requirements with your customs broker.

USD or yuan: choosing the payment currency

Most Chinese factories quote export orders in US dollars. Because the riyal is fixed at 3.75 to the dollar, a Saudi company that pays in dollars knows its riyal cost when it signs the order. The Chinese yuan (CNY, also called renminbi) is not fixed against the riyal, so a yuan price can move between the deposit and the balance.

Yuan settlement between the two countries has official support. On 20 November 2023 the People's Bank of China and SAMA signed a bilateral currency swap of 50 billion yuan, equal to 26 billion riyals. It is valid for three years and can be renewed by mutual consent. The two central banks said it would expand the use of their currencies and support trade and investment. A currency swap lets each central bank obtain the other's currency, which can then support yuan lending and payments by banks. It does not by itself mean that your bank sends yuan.

Sources: China Daily Hong Kong, report of the PBoC and SAMA currency swap (20 November 2023); SAMA exchange rate policy. As published on 29 October 2026.

Paying in yuan saves the supplier a conversion, not you. Some suppliers price a yuan order slightly lower for that reason, so compare the yuan quote at your bank's rate with the dollar quote before you choose. When you convert riyals to dollars, compare the bank's rate with 3.75 to see the margin you are paying.

How the money reaches a Chinese supplier

Many Chinese factories invoice through a Hong Kong trading company with a Hong Kong bank account, and others give a mainland account. Whichever route you use, the beneficiary on the payment should be the company named on the proforma invoice and the contract.

Routes as described in this guide; supplier-side checks from PNC Bank's summary of China's goods trade foreign exchange rules. As published on 29 October 2026.

What the supplier's bank checks

China manages foreign exchange through the State Administration of Foreign Exchange (SAFE). As summarized by PNC Bank, a Chinese company must be on SAFE's list of companies with goods trade foreign exchange business, and banks cannot handle foreign exchange for companies that are not on it. The supplier's bank checks each receipt for a genuine trade background, using documents such as the contract, invoice and customs declaration. The same summary states that the remitter and the beneficiary must be the parties to the contract. A payment from a related company or a relative that is not on the contract can be held while the supplier's bank asks questions.

This matters for Saudi groups that buy through one company and sell through another. Pay from the company that signed the contract and appears on the invoice, and check the supplier bank's code with our SWIFT code lookup before the first payment.

Deposit, balance and letters of credit

The US Country Commercial Guide lists open account and letters of credit among the most common methods of payment in Saudi Arabia. On open account, the buyer pays by transfer on the agreed dates without a bank promise. With Chinese factories, open account usually means a deposit when the order is confirmed and the balance before or after shipment.

Source: International Trade Administration, Saudi Arabia Country Commercial Guide, Trade Financing; terms as described in this guide. As published on 29 October 2026.

A letter of credit (LC) is a bank's written promise to pay the seller when it presents documents that comply with the credit's terms. It protects you against paying for goods that were never shipped, but it does not check quality. A documentary collection sends the shipping documents through the banks, and you receive them only after you pay or accept a bill of exchange. A supplier that has not traded with you before may ask for an LC on the first order and accept deposit and balance on later orders.

Book a pre-shipment inspection before you release the balance on a large order. Under SABER, the product certificate covers the product type, but each consignment still needs its shipment certificate, so a balance paid before that certificate is issued is paid for goods that may not clear.

What it costs: published bank charges

Each bank in Saudi Arabia publishes its own tariff. The table shows one bank's published corporate charges for the steps in this guide. Letter of credit commission follows the SAMA tariff, which the same document sets out.

Source: BNP Paribas, Saudi Arabia branch, tariff (July 2026), as published on 29 October 2026. Prices exclude VAT, which applies at the Saudi rate. Other banks set their own charges.

On a US$160,000 order (SAR 600,000 at 3.75) paid by a sight LC valid for under three months, the opening commission is 0.25% of SAR 400,000 plus 0.125% of SAR 200,000, or SAR 1,250, plus SAR 250 for the SWIFT issuance message and VAT. The same order paid as a deposit and a balance by transfer costs two transfer fees instead. Three costs sit outside the tariff. The first is the bank's exchange rate if you buy dollars with riyals, so compare it with 3.75. The second is correspondent bank charges deducted on the way to China. The third is the supplier's own bank charge.

Charge codes

Every SWIFT payment carries a charge code. OUR means you pay all transfer fees and the supplier receives the full invoice amount. SHA shares the fees, so intermediary banks can deduct theirs from the amount. BEN puts all fees on the supplier. A payment that arrives short delays shipment while the supplier queries the gap, so agree in the contract who bears bank charges.

Documents that tie the payment to customs

Your bank, ZATCA, SABER and the supplier's bank each match the same facts: the supplier's name, the invoice number, the goods and the value. Keep them identical across every document.

Sources: International Trade Administration, Saudi Arabia Country Commercial Guide, Import Requirements and Documentation; International Trade Administration, Saudi Arabia Testing, Inspection and Certification. Typical sequence; requirements vary by product. As published on 29 October 2026.

A bill of lading is the document the shipping line issues when it receives the goods. Ask the supplier to send a copy before you pay the balance, and check that the shipper, consignee and goods match the invoice and the SABER records. If the final invoice value differs from the proforma, pay against the final commercial invoice and keep both. If the supplier changes its bank details by email, confirm the change by telephone on a number you already hold before you pay.

Money agents, cash and stablecoins: what the rules say

Some importers pay Chinese suppliers through a money agent who takes riyals in Saudi Arabia and pays from an account in China, or through a stablecoin trader. The facts below are what a business should weigh before using these routes.

• Payment services need a SAMA authorization. As summarized by the law firm Zamakhchary & Co in February 2026, operating a payment system or providing regulated payment services in Saudi Arabia requires SAMA authorization under the Law of Payments and Payment Services. Ask any agent which authorization it holds.
• The supplier's bank may query it. China's rules expect the payer to be the party on the contract. A transfer from an agent's account is a payment from a third party.
• Your records do not match. Your invoice, SABER certificates and customs declaration name the supplier, but your bank statement shows a payment to someone else.
• There is no trace. A SWIFT transfer from your own account carries a reference and can be traced through the banks. Cash handed to an agent cannot.
• Stablecoins sit outside the Saudi banking system. The same review states that Saudi regulators have said virtual currencies are not approved as official currency, that there is no comprehensive licensing regime for retail crypto platforms, and that licensed banks and payment service providers do not support onshore crypto exchange or payment functionality.

A SWIFT transfer from your own company account to the supplier's company account is the route that both sides' banks expect, and it gives you a record for customs, VAT and audit.

Where Helm fits, and a checklist

Helm is a financial technology company, not a bank. Accounts are held with regulated partner institutions. A Helm account gives a Saudi company USD account details in its own name, with a US routing and account number that receives ACH, Fedwire and SWIFT payments, plus EUR and GBP details.

• Pay suppliers in USD. Send international payments by SWIFT from your company's own account to the supplier's USD account in China or Hong Kong, with the rate, fee and expected arrival shown before you send.
• Collect and pay in one currency. A distributor that collects dollars from buyers abroad can pay its Chinese suppliers from the same balance without converting.
• Finance the order. Trade finance, such as supplier finance and working capital, is arranged case by case.
• Stablecoins. Helm accounts can receive USDC and USDT and convert them to USD, but given the Saudi position above, take legal advice before using that feature in your trade.

Customs, SABER and VAT still apply in Saudi Arabia, whichever account pays the supplier. Each account has a named account manager, and review questions are answered in writing within one business day. Helm agrees pricing with each business in writing before the account opens, and shows the rate, the fee and the expected arrival before you confirm each payment. For how other importers organize supplier payments, see the importers page.

Checklist

• Get a proforma invoice and agree the deposit, the balance trigger and who pays bank charges.
• Check that the beneficiary is the supplier's company and matches the invoice and contract.
• Start SABER registration when you confirm the order, not when the goods ship.
• Pay from the Saudi company that signed the contract, by SWIFT, quoting the invoice number.
• Use a letter of credit or an inspection for a large first order.
• Release the balance once you hold the bill of lading copy and the SABER shipment certificate.
• Submit the FASAH clearance at least 48 hours before arrival.
• Keep the SWIFT confirmations with the invoice, bill of lading, certificates and declaration for each order.

Questions

References

1. International Trade Administration: Saudi Arabia Country Commercial Guide, Import Requirements and Documentation
2. International Trade Administration: Saudi Arabia Country Commercial Guide, Trade Financing
3. International Trade Administration: Saudi Arabia Testing, Inspection and Certification (SABER)
4. Saudi Central Bank (SAMA): SAMA Affirms Commitment to Exchange Rate Policy (4 May 2020)
5. China Daily Hong Kong: China, Saudi Arabia sign currency swap agreement (20 November 2023)
6. BNP Paribas, Saudi Arabia branch: Tariff (July 2026)
7. Zamakhchary & Co via Mondaq: Crypto platforms and fiat rails in Saudi Arabia, understanding the regulatory perimeter (26 February 2026)
8. PNC Bank: Navigating China's regulations on foreign exchange for goods trade

This guide is general information for businesses, not financial, legal or tax advice. Rules, fees and timings were checked against the sources listed on the review date and may change.