Factors Influencing Shipping Costs from China to France
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Mode of Transportation
The mode of transportation you choose directly impacts the total shipping cost. There are three main options available:
- Maritime transport is the most economical option for large volumes. It allows importers to ship goods via full container loads (FCL) or less-than-container loads (LCL). Transit times by sea typically range between 30 and 45 days.
- Air transport offers faster delivery times compared to sea freight. Depending on the sector, transit times are generally under one week. However, this method increases your overall import costs. Nevertheless, air freight is the best solution for urgent or high-value shipments.
- Rail transport, increasingly popular, takes approximately 20 to 25 days and costs less than air freight but more than sea freight. It is particularly suitable for medium-volume goods.
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Incoterms and Their Impacts
Incoterms define the responsibilities between the seller and the buyer concerning transportation costs and risks. Two Incoterms are commonly used for shipments from China to France:
- EXW (Ex-Works) Incoterm: The buyer is responsible for all costs, from the pickup of goods to their final destination, including local logistics in China, international transportation, and customs formalities. EXW is suited to companies that have full control over their supply chain.
- FOB (Free On Board) Incoterm: The seller handles costs up to the port of export, while the buyer takes over from there. This reduces local handling fees in China but involves additional responsibilities starting at the port of departure.
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Customs Duties and Taxes
Customs duties and VAT are significant components of import costs. Customs duties depend on the type and value of the imported product, as classified by the HS Code (Harmonized System).
Additionally, VAT (generally 20% in France) is almost always applied to imported goods, with rates varying by product type. Accurately calculating import taxes is crucial to determining the total cost of an import.
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Cargo Protection
At a minimum, you’ll need “loss or damage risk” insurance to cover reimbursement in the event your cargo is lost or damaged. It is important to anticipate risks specific to the mode of transport. To determine the exact cost, you’ll need to declare the full contents and market value of the shipment for appropriate insurance coverage.
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Storage and Handling Costs
Upon arrival in the destination country and after customs clearance, goods may need to be stored temporarily or handled. These costs should not be overlooked. Additionally, always allow for a contingency budget to cover any unforeseen expenses during customs processing.
Why Work with an Expert for Shipping from China to France?
When you collaborate with a professional like MWT Sourcing, your costs are effectively managed. Additionally, our partnership ensures compliance with administrative procedures and documentation regulations.
Optimizing Incoterm Selection and Management
We ensure you choose the Incoterm that gives you a competitive advantage in your market by offering access to quality logistics services. Consulting MWT Sourcing means receiving expert advice tailored to your knowledge and strategic needs.
Local Presence with a Sourcing Office
Thanks to its sourcing office in China, MWT Sourcing manages your suppliers and monitors production processes rigorously. We ensure that your order meets the provided specifications before it is even loaded.
Reducing Logistics Costs
MWT Sourcing’s expertise provides access to competitive rates with carriers and simplifies customs procedures, saving you both time and money. Through our commercial network, you benefit from the best pricing options for transportation and customs formalities.
Securing Your Supply Chain
International imports carry inherent risks, such as delivery delays, damaged goods, or errors in customs management. MWT Sourcing secures your supply chain through reliable partnerships and a deep understanding of customs and logistics processes.