Sea freight FCL: What is EXW, FOB & CIF?
FOB: Free On Board
"FOB" refers to the transportation process starting from the port in China.
Your Chinese supplier will load the goods into the container and arrange delivery to the Chinese port. Then, the shipping company takes care of customs clearance and schedules shipping to the port in Malaysia. Upon arrival at the Malaysia port, customs clearance and delivery to the designated location are arranged.
CIF: Cost, Insurance, and Freight
"CIF" refers to the transportation process starting from the port in Malaysia.
Basically, it means your goods have already arrived at the Malaysia port. Then, the shipping company takes care of the paperwork needed for customs clearance. Once customs clearance is done, they arrange direct delivery to the designated location.
"Ex Works" means that the shipping company takes care of everything from when your Chinese supplier loads the goods into the container until they're delivered to your specified location.
Simply put, the shipping company handles all the procedures, and all you need to do is order from your Chinese supplier and have the goods sent to our warehouse in China. The rest - paperwork, customs clearance, taxes, and transportation - is all handled by the shipping company.
Hope this article helps you better understand the shipping process for Full Container Load (FCL) sea freight. If you need to arrange FCL sea freight, click here to get a quote from us! Or if you have any other questions, we're here to help you out.
01 Apr 2024