FOB vs CIF vs EXW for China Car Export

The price on a Chinese vehicle quotation is only useful when you know which costs are included. This guide explains the three common delivery terms used when sourcing new and used cars from China.

Term	Usually includes	Buyer usually arranges
EXW	Vehicle at the supplier or agreed pickup location	Pickup, export clearance, port handling, freight, insurance and destination costs
FOB	Vehicle delivered through export clearance and loaded at the named Chinese port	Main ocean freight, insurance and destination charges
CIF	Vehicle, export handling, ocean freight and insurance to the named destination port	Import clearance, duties, local port fees, inland delivery and registration

What is EXW?

EXW can look like the lowest vehicle price because it normally starts at the supplier's location. The buyer takes responsibility for almost every step after pickup. It may suit experienced importers with their own Chinese logistics and export-clearance arrangements, but it is harder to compare when local handling fees are not visible.

What is FOB?

FOB is commonly used when the buyer has a freight forwarder or shipping contract. The exporter handles the agreed export process and delivers the vehicle to the named port. The buyer then controls the main freight, insurance and destination arrangements.

What is CIF?

CIF combines the vehicle price with freight and marine insurance to a named destination port. It is often easier for overseas dealers to budget, but a CIF quotation does not automatically include customs duty, VAT, destination handling or delivery from the port to the final address.

How to compare two quotations

Confirm the exact vehicle, model year, trim, battery and condition.
Check the named port and the currency of the quotation.
Ask whether export documents, inspection and inland transport are included.
Separate ocean freight from destination charges, taxes and local registration.
Request the quotation validity period because freight and vehicle availability can change.

Which term should you choose?

Choose the term that matches your logistics experience and destination. A dealer with a trusted freight forwarder may prefer FOB. A buyer who wants a clearer port-arrival budget may prefer CIF. EXW can work when the buyer already has a reliable China-side export and transport network.