Quick Definitions

  • FOB (Free On Board): seller delivers the vehicle to the ship at the Chinese export port. Risk and freight cost transfer to you from that point.
  • CIF (Cost, Insurance, Freight): seller's price includes vehicle + freight + marine insurance to the destination port. Risk transfers when goods are loaded, but the seller pays freight and insurance.

What's Included

Cost item FOB CIF
Vehicle price ✓ ✓
China inland transport ✓ ✓
China export customs ✓ ✓
SGS / BV inspection Usually buyer Usually included
Marine insurance Buyer ✓
Ocean freight Buyer ✓
Destination port handling Buyer Buyer
Destination customs duty Buyer Buyer
Destination inland Buyer Buyer

When FOB Makes Sense

  • You have a freight forwarder at destination with better rates than the seller
  • You're consolidating multiple shipments and want full schedule control
  • You're sophisticated enough to handle marine insurance separately

If you import < 50 vehicles a year, FOB usually costs you more than it saves.

When CIF Makes Sense (most cases)

  • You want a predictable landed cost at port
  • You don't have a trusted freight forwarder
  • You want the seller motivated to deliver in good condition (they're responsible until destination)

Watch For Hidden Costs in "Cheap" FOB

A "cheap" FOB can become an expensive CIF in disguise:

  1. Freight rate spikes. Ocean rates in 2026 are volatile. Day-1 quote may be 20% higher on day-30.
  2. Hidden surcharges. BAF (Bunker Adjustment), CAF (Currency Adjustment), THC (Terminal Handling) — can add 8–15%.
  3. Demurrage / detention. Free time at port is typically 7 days; after that $30–80/vehicle/day.

Starvia's Default

We quote CIF as default. FOB on request. CIF prices are itemized so you see exactly what you're paying:

  • Vehicle FOB price
  • China inland + export customs
  • Marine insurance (~1% of CIF)
  • Ocean freight (RoRo or container)
  • Port loading / lashing

No hidden surcharges. Day-1 quote = day-30 quote.