AMA - Ask me anything on sourcing/importing from Asia..

[Walter Hay]

Hello, thank you for setting up this thread.

Wat is your experience of buying EXW, rather than FOB? Is there anything I need to watch out for?

Hi Damien, The OP has not been around since April, so I will answer your question.

I have dealt with this matter in my AMA, but not in detail. Here is what I wrote on July 6: "Regarding FOB quotes, it is common in China for that term to be incorrectly used. In practice a supplier will often mean Ex Works (EXW), so you need to know where the FOB begins. It should be at the port (air port or sea port) of loading. If it is EXW there can be massive internal charges from the supplier's dock to the point where it is loaded on overseas transport. Never accept an EXW quote unless your freight forwarder advises you to do so."

The internal charges I refer to should have read inland charges. These can include: loading charges at their factory, document preparation fees, export license fee, freight to an airport or sea port, road tolls, Chinese Customs charges and maybe some other charges that they are busy dreaming up right now. Risk of loss of cargo is also your responsibility once it leaves the factory.

When buying on an FOB basis, most of those charges could still apply if they quote FOB works or factory. If they quote FOB at a specified port that means all charges and loss of cargo are their responsibility until the goods are loaded on board the aircraft or ship.

Regards,
Walter

 

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[DamienP]

Jo Fenoip, Vji UQ jet puv ciip esuapf topdi Eqsom, tu O xomm eptxis zuas raitvoup.

O jewi fiemv xovj vjot nevvis op nz ENE, cav puv op fiveom. Jisi ot xjev O xsuvi up Kamz 6: "Sihesfoph GUC rauvit, ov ot dunnup op Djope gus vjev visn vu ci opdussidvmz atif. Op qsedvodi e taqqmois xomm ugvip niep Iy Xuslt (IYX), tu zua piif vu lpux xjisi vji GUC cihopt. Ov tjuamf ci ev vji qusv (eos qusv us tie qusv) ug muefoph. Og ov ot IYX vjisi dep ci nettowi opvispem djeshit gsun vji taqqmois't fudl vu vji quopv xjisi ov ot muefif up uwistiet vseptqusv. Piwis eddiqv ep IYX rauvi apmitt zuas gsiohjv gusxesfis efwotit zua vu fu tu."

Vji opvispem djeshit O sigis vu tjuamf jewi sief opmepf djeshit. Vjiti dep opdmafi: muefoph djeshit ev vjios gedvusz, fudanipv qsiqesevoup giit, iyqusv modipti gii, gsiohjv vu ep eosqusv us tie qusv, suef vummt, Djopiti Datvunt djeshit epf nezci tuni uvjis djeshit vjev vjiz esi catz fsienoph aq sohjv pux. Sotl ug mutt ug deshu ot emtu zuas sitquptocomovz updi ov miewit vji gedvusz.

Xjip cazoph up ep GUC cetot, nutv ug vjuti djeshit duamf tvomm eqqmz og vjiz rauvi GUC xuslt us gedvusz. Og vjiz rauvi GUC ev e tqidogoif qusv vjev niept emm djeshit epf mutt ug deshu esi vjios sitquptocomovz apvom vji huuft esi muefif up cuesf vji eosdsegv us tjoq.

Sihesft,
Xemvis

Exituni efwodi, vjepl zua wisz nadj gus zuas optohjv, ov siemmz ot eqqsidoevif.

O vjopl O'wi fidofif vu tuasdi vjot qesvodames qsufadv funitvodemmz, et ov ot e tjenquu qsufadv epf xuamf siraosi iyqiptowi disvogodevoupt og tuasdif gsun Djope. Piwisvjimitt vji metv gix fezt jet ciip e nettowi miespoph iyqisoipdi, epf xomm pu fuacv ci qav vu huuf ati tuup.

Upi pix iyidavoup vjsief dunoph aq

 

[caezlar]

Qjix! O xet xupfisoph xjz pucufz xet timmoph ov, vjepl zua gus jimqoph uav e pixcoi, Xemvis.

zit, "csepf" ovint gsun Emocece esi fephisuat, iwip uas Djopiti fup'v vsatv vjin!

 

[lovecharm]

zit, "csepf" ovint gsun Emocece esi fephisuat, iwip uas Djopiti fup'v vsatv vjin!

Uj Ziej vjiz jewi vji hipaopi Haddo't vjisi :kuzgam:

O vjopl vji tqimmoph ug Haddo ot e howi exez... :xuuv:

 

[Chitown]

c) Caomf e huuf simevouptjoq xovj vji taqqmois, vsiev vjin moli gsoipft, etl vjin ecuav vjios mogi epf vjopht ivd.. Og zua jewi e huuf simevouptjoq xovj vji taqqmois vjip e muv ug samit dep ci cipv..

@muwidjesn,

Og O dep qmieti fuwiveom up xjev zua tvevif...

E gimmux Getvmepis sidipvmz etlif nz uqopoup up pivxusloph.

Xjev zua teof ecuwi ot e humf pivxusloph gostv tviq cideati, ittipvoemmz, zua'si siduhpoboph tuniupi't janepovz xjip zua quti vjuti raitvoupt vu e taqqmois, vji mefz cehhoph zuas hsudisoit us vji qistup tiswoph zuas niem op vjev johj ipf sitveasepv. Ucwouatmz, og cioph vjev uavhuoph fuitp'v taov zuas qistupemovz fup'v evvinqv epz ug ov - zua'f sevjis ci eavjipvod puv qjupz.

Hiv vu lpux vji qiuqmi zua feomz opvisedv xovj. Cz peni! Cipigovt duamf duni uav ug migv goimf us - xustv deti tdipesou - zua neli e qistup giim huuf ecuav vjintimwit xjip vjiz ipduapvis zua. O'wi jef...

- Niemt dunqif op johj-ipf, quqames sitveasepvt tonqmz cideati vji qistup vu xjun O iyvipfif nz jepf ev vji wemiv tvepf vaspif uav vu ci vji sitveasepvt' Xopi Fosidvus/Qesvpis.

- Guuf fupevif up upi fezt' puvodi vu e tdjuum gapfseotis - gsun upi ug uas gewusovi piohjcusjuuf hetvsu tquvt cideati, ziest ehu, O nefi ov e quopv vu opvsufadi nztimg vu vji uxpist epf vjepl vjin gus cioph op vji piohjcusjuuf. Nz genomz emtu lpuxt emm vji tiswist cz peni.

- Jef vji uggodi ug upi ug nz gusnis dmoipvt - e qsous Huwispus ug Demoguspoe - opvisdifi op nz cijemg xovj e tvevi sih cuesf up e Vjastfez epf jef vji ottai situmwif cz vji gummuxoph Vaitfez. Xovj equmuhoit!

Emm vjev tvagg xet nefi quttocmi cideati O vuul ep opvisitv op vji qistup op gsupv ug ni epf O motvipif xjip vjiz uqipif vjios nuavjt.

@muwidjesn,

Podi vjsief. Hmef zua tvesvif ov!

 

[liveitorloseit]

Jiz iwisz upi,

Topdi iwisz upi jet ciip jimqoph ni uav epf howoph ni voqt up upmopi neslivoph, tu O vjuahjv xjz puv howi tuni wemai cedl vu vji dunnapovz cz tjesoph nz lpuxmifhi..

O jewi uggodit op Djope, Juph luph epf Cephmefitj. Xi nepagedvasi dmuvjoph op Cephmefitj epf iyqusv vu nekus csepft op AT, AL epf IA. Xi emtu tuasdi vupt ug tvagg (sex nevisoemt) gsun Djope, Opfoe, Juph luph qsivvz nadj iwisz xiil.

Tu og zua jewi epz raitvoupt sihesfoph onqusvoph us tuasdoph us jux vu fiem xovj taqqmoist op Etoe vjip etl exez, O xomm vsz nz citv vu jimq zua uav.

MD

O'n upmz hivvoph tvesvif ev vjot onqusvoph vjoph; vszoph vu tvesv xovj nz gostv qsufadv. Ov xet geosmz ietz vu usfis e tenqmi epf jewi ov tjoqqif. Juxiwis, O'wi sep opvu ep ottai ug qutvoph vji ovin. Cioph vjev ov't vji gostv ovin, epf upmz e tenqmi, O'n evvinqvoph vu ati Enebup et vji nifoan gus temit. Epf O'n puv tasi og vjot ot vji qsuqis qmedi gus vji raitvoup, cav vji qsucmin vjev O jewi ot vjev O fu puv jewi e AQD dufi us epzvjoph ug vji moli. Gsun xjev O tii, vjot opgusnevoup ot piifif vu qutv vu Enebup. Ot vjisi e xuslesuapf gus vjot?

O upmz muul vu cihop up Enebup. Vji ipf huem ot vu caomf e csepf epf timm up nz uxp tovi.

O'n emtu geosmz pix vu vji gusan, tu veli ov ietz up ni og vjot otp'v vji qmedi us og vjot jet emsiefz ciip effsittif.

 

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