Quick answer: FOB is the most common term for apparel because control passes at the port of loading and both sides can see the same cost basis. EXW looks cheaper but pushes export clearance, trucking and loading onto you. DDP looks simplest but hides duty and tax inside the unit price and makes the supplier the importer of record. Sea freight is economical from roughly 2 CBM or 150 kg upward and takes 25–40 days to Europe or North America; air freight takes 5–10 days and costs several times more per kilogram. Choose the term by who can actually manage the risk, not by which price looks lowest.
Shipping is the last topic in an apparel order and the one most often decided by a single line on a quotation. That line — FOB, EXW, DDP — quietly assigns responsibility for the goods, the cost of moving them, the export paperwork, the import paperwork and the customs duty. Getting it wrong does not usually show up as a disaster; it shows up as an unexpected invoice, or a shipment sitting at a port while two companies discuss who should clear it.
This article sets out what the common Incoterms actually transfer, how to choose between sea and air freight, what documents a shipment needs, and the timing questions buyers ask when planning a launch date.
Incoterms for apparel: what each one transfers
An Incoterm defines three things at once: where the seller's cost stops, where the risk of loss passes to the buyer, and which party handles export and import clearance. Apparel buyers will encounter these four most often.
| Term | Seller delivers / risk passes | Who clears export | Who clears import | Best suited to |
|---|---|---|---|---|
| EXW Ex Works | At the factory door | Buyer | Buyer | Buyers who already have a forwarder and an established China-side logistics arrangement |
| FOB Free On Board | Loaded on board the vessel at the named port | Seller | Buyer | The default for most apparel orders — the seller keeps export clearance, which they are better placed to handle |
| CIF Cost, Insurance, Freight | On board at the port of destination, with freight and insurance paid to there | Seller | Buyer | Buyers who want one delivered-to-port price and little involvement in booking |
| DDP Delivered Duty Paid | At the buyer's named address, duties paid | Seller | Seller | Small first orders, samples, and brands with no import entity. The most convenient and the most opaque on duty |
The detail that matters most is not on that table. With EXW, the seller's obligation ends at the factory gate — but in practice the seller is the only party who can complete the Chinese export declaration, because it requires the seller's own documentation. Buyers who choose EXW frequently discover that they have nominally taken on a task only the seller can perform, and then negotiate it back as an additional service. FCA is the term that solves this properly: the seller clears export, the buyer takes over from there. If you are considering EXW because you want to control your own freight, ask about FCA instead.
On DDP and duty: with DDP the supplier pays import duty and tax and then prices it into the invoice. That is genuinely convenient for a first order with no import entity. It also means you cannot see the duty rate you were charged or reclaim import VAT and duty where your tax position allows it — and the party named as importer of record carries the compliance obligation. If your volume grows, moving to FOB and appointing your own customs broker is usually worth the extra administration.
Sea freight versus air freight
Apparel and outerwear are low-density, high-volume goods. A carton of down jackets is bulky relative to its weight, and this shapes the decision more than price per kilogram alone.
| Mode | Typical transit time | Cost basis | Economic from | Best for |
|---|---|---|---|---|
| Sea — LCL (less than container load) | Roughly 30–45 days door to door | Per cubic metre, with a minimum | From about 1–2 CBM | First orders, mid-size reorders, anything not date-critical |
| Sea — FCL (full container load) | Roughly 25–40 days port to port | Per container, flat | From roughly 15–20 CBM for a 20-foot container | Volume orders; usually the lowest cost per unit once you fill a container |
| Air freight | 5–10 days door to door | Per chargeable kilogram | Rarely economic on bulk apparel | Samples, launch quantities, an urgent shortfall before a selling season |
| Express courier | 3–7 days | Per kilogram, all-in | Under about 100 kg | Samples and trim approvals, not production shipments |
Because apparel is bulky, chargeable weight is usually volumetric weight, not actual weight — a carton that weighs 12 kg may be billed as 25 kg. Compressible goods like down outerwear benefit enormously from vacuum packing, which reduces volume rather than weight. Ask whether vacuum packing is possible for your garment and what it does to the arrival condition, because it is one of the few levers that changes the freight bill without changing the product.
The season trap
Two calendar effects regularly cost buyers more than any Incoterm choice. The first is peak season, when capacity tightens and rates rise on the main routes to Europe and North America ahead of the retail calendar. The second is Chinese New Year, when factories close for a period and freight demand spikes on both sides of the closure. Both push rates and both add transit variability. Book earlier than you would outside those windows, and build the lead time into the launch date rather than assuming it.
The documents a shipment needs
Most delays at destination are documentary rather than physical. The goods are fine; the paperwork is not. The core set for an apparel shipment is below.
| Document | Issued by | What it does |
|---|---|---|
| Commercial invoice | Seller | States the value, the currency and the terms of sale; customs assesses duty against it |
| Packing list | Seller | Cartons, quantities, dimensions and weights; drives the freight calculation and the receiving process |
| Bill of lading | Carrier or forwarder | The transport contract and the document of title for sea freight; an air waybill does the same job by air |
| Certificate of origin | Chamber of commerce or authorised body | Supports a preferential duty rate where a trade agreement applies; not automatic, and must be requested |
| Test reports | Accredited laboratory | Evidence for fibre content, performance and restricted substances, where your market requires it |
| Shipping marks on cartons | Seller | Identifies the consignment and the importer; incorrect marks slow receiving and can breach an importer's requirements |
One recurring problem deserves its own note: a commercial invoice whose declared value does not reflect the transaction. Whatever the motivation, an under-declared invoice creates a mismatch between the customs record and your own accounting, exposes the importer named on the entry, and complicates any insurance claim on the goods. The invoice, the packing list and what is physically in the cartons need to agree, and they need to agree with what you book in your accounts.
Timing a shipment against your launch date
Work backwards from the date the goods must be on your warehouse floor, not from the day production finishes. Five intervals sit between the two, and they are additive:
- Production to ex-factory. The bulk lead time, ending when the goods are packed and released. Set out stage by stage in our guide to the sample-to-bulk production timeline.
- Inspection. Schedule the final inspection before packing, not after, so that a failed inspection does not mean re-opening cartons.
- Loading and departure. Trucking to the port, loading, and the vessel or flight departure. Space is not always available on the date you would like.
- Transit. Roughly 25–40 days by sea to Europe or North America, 5–10 days by air, plus variability in peak season.
- Import clearance and final delivery. Customs clearance, duty payment and the last leg to your warehouse. Where documents are complete this is a few days; where they are not, it is the interval that runs away.
Add these up and a sea shipment can occupy six to ten weeks after production ends. Brands that plan a launch around the production completion date, rather than the warehouse arrival date, are the ones paying for express shipments at the end — which is exactly the cost that Incoterm selection was meant to make predictable.
Choosing a term: a short decision rule
| If your situation is | Consider | Because |
|---|---|---|
| A normal OEM order, you have a customs broker | FOB | Clean split: the seller handles export, you handle import and control the cost basis |
| You want your own forwarder but not the Chinese export paperwork | FCA | The seller clears export; you control the main carriage |
| A small first order with no import entity | DDP | Convenient, but compare the duty inside the price before you accept it |
| You want a single delivered-to-port figure | CIF | One price including freight and insurance, but the insurance cover is normally minimum |
| You already run China-side logistics | FCA rather than EXW | You gain control without taking on a declaration only the seller can complete |
Frequently asked questions
Which Incoterm is best for a first apparel order?
FOB suits most first orders, provided you are prepared to appoint a customs broker at your end. It gives a clear cost basis at the port and leaves export clearance with the party best placed to handle it. Where you want a single delivered price and no import involvement, DDP is more convenient but less transparent on duty.
Should I use sea or air freight?
Sea freight for everything from roughly 2 CBM upward, and air freight only when the date matters more than the cost — samples, launch quantities, an urgent shortfall. Apparel is bulky, so volumetric weight drives the air bill, and the difference is substantial on any real volume.
How long does shipping take from China?
Sea freight to Europe or North America typically runs 25–40 days port to port, and 30–45 days door to door for LCL. Air freight runs 5–10 days door to door. Peak season and the period around Chinese New Year add variability, so book earlier in those windows.
Who pays import duty?
It depends entirely on the Incoterm. Under FOB, CIF and FCA the buyer is the importer and pays duty and tax. Under DDP the seller pays them and includes them in the invoice. The named importer of record also carries the compliance obligation, which is a reason to look carefully at DDP as your volume grows.
Can you ship directly to an Amazon or 3PL warehouse?
Yes, provided the shipment meets that facility's requirements: carton labels and shipping marks to their specification, an advance shipment notice on their timetable, and packaging that survives automated receiving. These requirements are set by the receiving facility, so share them before production is packed — retrofitting labels onto sealed cartons is a delay you do not need.
What happens if the shipment is damaged in transit?
The claim depends on where risk passed, which is what the Incoterm defines, and on the insurance in force. This is the practical argument for insuring the full transit rather than the minimum cover that comes with CIF, and for keeping the declared value on the commercial invoice consistent with the value you insure. Where risk passes at the port of loading, a buyer without their own policy has limited recovery.
Do I need a certificate of origin?
It is only useful where a preferential duty rate is available under a trade agreement between China and your market, and it must be requested — it is not issued automatically. If no preference applies, the certificate adds cost without benefit. Ask your customs broker whether one is worth obtaining for your product and destination.
Agree the shipping terms before the order is confirmed
Send us your destination, expected volume and launch date. We will recommend an Incoterm, estimate the freight both by sea and air, list the documents you will need, and give you a working timeline from ex-factory to your warehouse — quoted alongside the garment price so you can see the true landed cost.