Direct AnswerA China freight quote should itemize three blocks — origin charges, main-leg freight, and destination charges — plus surcharges and customs clearance. Importers should check 15 specific line items for hidden fees, confirm whether the quote is all-in or line-item, and verify it uses the same Incoterm as competitor quotes before comparing. A cheap headline rate often hides costly destination or documentation fees.
Key Takeaways
- Always compare quotes on the same Incoterm (EXW/FOB/CIF/DDP) — different terms are not comparable.
- Separate the quote into origin / freight / destination to see where money actually goes.
- Watch surcharges: BAF, CAF, PSS, and THC can equal 20–40% of the base rate.
- Confirm whether customs clearance and last-mile delivery are included.
- Check container stuffing / devanning and consolidation fees — common omissions.
- US/EU shipments need AMS / ENS / ISF filing fees — verify they are quoted.
- Ask for the full 15-line breakdown in writing, with currency and validity period.
Incoterm Responsibility — Who Pays What
| Charge block |
EXW |
FOB |
CIF |
DDP |
| Origin pickup & export docs |
Buyer |
Seller |
Seller |
Seller |
| Origin THC & loading |
Buyer |
Seller |
Seller |
Seller |
| Main-leg ocean/air freight |
Buyer |
Buyer |
Seller |
Seller |
| Insurance |
Buyer |
Buyer |
Seller (min) |
Seller |
| Destination THC & handling |
Buyer |
Buyer |
Buyer |
Seller |
| Import customs & duties |
Buyer |
Buyer |
Buyer |
Seller |
| Last-mile delivery |
Buyer |
Buyer |
Buyer |
Seller |
Two quotes are only comparable if they sit on the same Incoterm row above.
The 15 Charges to Check
- Local pickup / trucking at origin — factory to port/warehouse.
- Export declaration / customs documentation fee — China export filing.
- Origin Terminal Handling Charge (THC) — port handling.
- Container stuffing / LCL consolidation fee — loading & grouping.
- Ocean or air freight (main leg) — the headline rate.
- Bunker Adjustment Factor (BAF) — fuel surcharge.
- Currency Adjustment Factor (CAF) — FX surcharge.
- Peak Season Surcharge (PSS) — capacity surcharge.
- Destination THC — discharge port handling.
- Destination port / handling fee — terminal admin.
- Import customs clearance fee — broker fee at destination.
- Duties & taxes — usually paid by buyer (except DDP).
- Delivery / devanning / last-mile — to final address.
- AMS / ENS / ISF filing — US (AMS/ISF) / EU (ENS) security filing.
- Insurance — if not quoted separately, confirm coverage level.
Decision Framework: Read & Compare a Quote
- Confirm the Incoterm at the top of the quote.
- List origin charges and verify pickup + export docs are present.
- Isolate the main-leg freight and note the carrier/service.
- List destination charges — the usual hiding place for extras.
- Identify surcharges (BAF/CAF/PSS/THC) and their basis.
- Confirm clearance & delivery scope (included or not).
- Check currency, validity, and minimum charges.
- Compare two quotes only after normalizing to one Incoterm.
Common Mistakes Importers Make
- Comparing FOB and CIF quotes directly — different responsibility splits.
- Ignoring destination charges buried below the headline rate.
- Missing the quote validity period — rates move weekly.
- Overlooking currency (USD vs local) and FX risk.
- Assuming clearance is included when it is not.
- Not requesting an all-in quote for budgeting certainty.
- Missing AMS/ENS/ISF on US/EU lanes.
- Overlooking minimum charges that bite on small shipments.
FAQ — 12 Questions Overseas Buyers Actually Ask
What should be included in a freight quote?
A complete quote lists origin charges, main-leg freight, destination charges, surcharges, clearance, and delivery — with Incoterm, currency, and validity stated.What is the difference between FOB and CIF quotes?
Under FOB the seller covers origin to port loading; the buyer pays main-leg freight and destination. Under CIF the seller also pays main-leg freight and minimum insurance. They are not directly comparable.What is THC?
Terminal Handling Charge — the port fee for loading/unloading containers, charged at both origin and destination.What are BAF and CAF?
BAF (Bunker Adjustment Factor) is a fuel surcharge; CAF (Currency Adjustment Factor) offsets exchange-rate moves. Both are added on top of base freight.What is PSS?
Peak Season Surcharge — a capacity surcharge applied during high-demand periods (e.g., pre-holiday peaks).Are destination charges included in the quote?
Not always. Many China quotes cover only origin + main leg. Always confirm whether destination THC, clearance, and delivery are itemized.What are AMS, ENS, and ISF?
Security filing fees: AMS/ISF for the US, ENS for the EU. They are mandatory and should appear as line items.How do I compare two freight quotes?
Normalize both to the same Incoterm, then compare total all-in cost and service scope — not just the headline ocean/air rate.Why do freight quotes expire?
Rates are tied to carrier space and fuel; quotes typically valid 7–30 days.What is an all-in rate?
A single price covering origin, freight, and destination (scope varies) — useful for budgeting but still needs itemization to compare.Who pays customs duties?
Usually the importer of record, except under DDP where the seller handles duties and taxes.How do I avoid hidden charges?
Request the full 15-line breakdown in writing, fix the Incoterm, and ask specifically about destination and documentation fees before booking.
Sources & References
- Incoterms 2020 — ICC rules defining cost/risk allocation.
- Carrier tariffs — BAF/CAF/PSS/THC published rates.
- US CBP / EU customs — AMS/ISF/ENS filing requirements.
Author: Batong Global Freight Team — Batong Global (batongls.com) provides transparent, itemized China freight quotes across sea, air, and multimodal lanes. （建议替换具名专家 + 经验简介。） ---
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