Shipping terms impact budgets, timelines, and risks:
Key terms:
Case study: EXW saved 1200 USD on furniture, but customs errors caused 800 USD losses. CIF would’ve prevented this.
Checklist:
Key terms:
- EXW (Ex Works): You handle all logistics. High risk, low cost.
- FOB (Free On Board): Factory delivers to Chinese port. Balance of control/cost.
- CIF (Cost, Insurance, Freight): Supplier covers delivery to your port. Easiest but +10–15% cost.
Case study: EXW saved 1200 USD on furniture, but customs errors caused 800 USD losses. CIF would’ve prevented this.
Checklist:
- Compare total costs (product + shipping + duties).
- Assess your logistics capacity.
- Confirm insurance inclusion.