It is a pity to hear the unexpected enws. We have instructed the factory to cancel this project last Friday.
Actually company have a regulation on the cancellation of PO. The following charges will be applied when a cancellation occurs.
1) 10% - Order received and entered on factory, work not started.
2) 30% - Drawings for approval submitted.
3) 60% - Approved drawings returned. Job released for manufacturing.
4) 80% - Material accumulated and production started.
5) 100% - Shipment
Fortunately, the rough material for this project is not purchase from supplier. Considering the long term cooperation, we will not charge anything for this PO cancel.
Hope we will have no such cancellation in future. Thanks.
Best Regards,