Overview of Shipping Costs
Three cost components of shipping from China to Singapore Freight insurance customs duties handling charges There are a lot of components that make the total price like type of goods, delivery method used and size.
Freight Charges: Air vs. Sea
If you choose your cargo to be delivered through air freight, although faster than sea but more expensive; as the rate of charges is based not upon actual weight only but on either the volumetric weight whichever holds high. The prices are from $2 to 5 per kg.
Sea Freight: If you have a big quantity of goods, sea freight is the best and also cheap in cost according to container sizes. An air freight normally costs up to one fifth of the sea shipping price, which brings a standard 20-foot container shipment from $500-$100.
Customs and Duties
Thanks to its free trade agreements and efficient customs process, Singapore has relatively simple import duties and taxes. But importers must also take into account 7% GST (Goods and Service Tax) on the CIF value.
Insurance Costs
Insurance costs generally vary from 0.3% to 0.5% of the CIF value and insure goods against loss or damage in between during transit (4).
Handling and Additional Fees
Handling Fee - Fees charged for loading, unloading and processing paperwork. Additional costs can also be charged due to unforeseen delays or storage, particularly in the event that goods are not cleared immediately.
Economic factors and their impact on cost
Fuel prices rarely remain stable, and variations in worldwide trade regulations can have a dramatic affect on the costs associated with shipping. China and Singapore economic stability which would affect the different currency exchange rates & logistics expenses.
Example Cost Breakdown
Example of a 20ft container transported by sea
Freight Charge: $700
Insurance: $250 (CIF value of $50,000)
Customs and Duties GST -> $3,500 on CIF value of $50 000
Processing Fee: ~ $200
Total estimated cost: $4,650
Learn more about ship from china to singapore, as well as the latest pricing and savings opportunities for affordable shipping: Click here. These costs are important for business financial planning, as well how one plans to ship a particular process and needs to go without hitches.