Is the fob price in USD or RMB? What fees are included?

If you do cross-border business, you need to understand the fob price. It refers to the offshore price. When selling products on cross-border platforms, the fob price needs to be determined based on the product sales volume and price. Is the fob price in US dollars or RMB?

Dollar

What are the costs included in the fob price?

First of all, regarding the question of whether the fob price includes freight, it does include freight. If there are a lot of goods or the profit is high, domestic costs can be ignored. If there are fewer goods, the price needs to be increased accordingly, because the unit cost has increased a lot. The unit cost mainly includes: inland freight (factory to port or container warehouse), loading and unloading fees (especially some goods that cannot be loaded and unloaded mechanically), LCL fees, terminal fees, customs clearance fees, inspection fees, etc.

Specific domestic expenses include:

1. Processing and finishing costs;

2. Packaging costs;

3. Storage costs (warehousing/rental, fire insurance, etc.);

4. Domestic transportation costs (from warehouse to port);

5. Document fees (including commodity inspection fees, notarization fees, consular visa fees, certificate of origin fees, license fees, storage fees, etc.);

6. Shipping charges (shipping, lifting and barge charges, etc.);

7. Bank charges (discount interest, handling fees, etc.);

8. Expected losses (loss, short loss, leakage, breakage, deterioration, etc.);

9. Postage and telecommunications charges (telegram, telephone, email, fax, e-mail, etc.).

The costs of FOB LCL include: THC, terminal, and generally an additional operation fee. Other costs will be charged if they happen to you, otherwise they will not, such as customs clearance fees, telex release fees, etc.

The FOB price includes product production cost, corporate profit, inland freight, packing fee, customs clearance fee, commodity inspection fee, and port or FOB price.

To sum up, the fob price is in US dollars. The fob cost refers to the expenses incurred by shipping, product inventory, profit, tariffs, and platform fees.