A professional quotation means that eight necessary elements are complete, trade terms are clear, and cost logic can be explained.At present, when making a quotation, two variables must be clearly written: one is the exchange rate, according toShanghai securities newsIt was reported that on September 28, the central parity rate of the RMB against the US dollar was reported at 6.7399, up 90 basis points, setting a new high since February 2023. A stronger RMB will directly eat up profits quoted in US dollars; the second is freight rates, according toShanghai shipping exchangeData, SCFI has risen for eight consecutive weeks, reporting 3686 points. Starting from October 1, the GRI of the U.S. line will be increased by US$2,000 - 3,000 per 40-foot cabinet. Drewry's WCI on September 24 will be US$4,468/40 feet (Shanghai-Los Angeles 7838, Shanghai-New York 10373).
The quotation is not a price list, but the first document for the customer to judge whether the factory is reliable. Only by complete elements, accurate terminology, and keeping floating terms can we not only accept orders but also maintain profits.
1. 8 essential elements for a quotation
- Product information:The model, specification, material, and packaging method correspond one by one to the customer's inquiry content.
- Price and Currency:Unit price, quantity ladder price, pricing currency (usually U.S. dollars), indicating the price conditions.
- Incoterms and ports:For example, FOB Shanghai and CIF Los Angeles, terms and ports must appear in pairs.
- Minimum MOQ and Delivery Time:The MOQ is listed separately, and the delivery date will be calculated from the date of receipt of the deposit, and it will be clearly written.
- Payment method:For example, a T/T 30% deposit, payment of the balance before shipment, or a letter of credit, the conditions must be complete.
- Offer validity period:Give a clear deadline to prevent customers from repeatedly lowering prices with old prices.
- Packaging and shipping marks:Export packaging standards, whether trays are included, and shipping marks requirements.
- Company Information:Company title, contact information, bank account (PI stage), stamped with official seal.
2. FOB and CIF: The difference between one word and the responsibility is much worse
| comparison item | FOB (Free on Board at Port of Loading) | CIF (cost plus insurance plus freight) |
|---|---|---|
| cost components | Ex-factory cost + inland freight + customs declaration fee, foreign section shipping premium is borne by the buyer | Add sea freight and insurance premium on FOB basis |
| Who makes reservations | Buyers designate freight forwarders to book shipping | Sellers book and insure |
| Risk transfer point | The goods are loaded on board at the loading port | The risk is transferred upon loading on the ship at the port of shipment, but the freight insurance is paid by the seller to the port of destination |
| Suitable for the scene | Customers with freight forwarding resources and mature cooperation | For new customers, buyers who are unfamiliar with logistics, sellers are more controllable |
Ideas that novice factories can refer to: New customers first start from CIF-type conditions and have the initiative to book space; customers with mature cooperation can cooperate on FOB, but they must pay close attention to freight forwarding and loading time.
3. 5 common pits and pit avoidance methods
Pit 1: Quotes do not include exchange rate fluctuation clauses
The RMB has continued to strengthen recently. If the price of long-term orders is only locked at the time of signing, the profit during delivery may be eaten up by the exchange rate. Practice: The quotation states that "the quotation is based on the exchange rate of a certain day, and the two parties will negotiate and adjust it when the fluctuation exceeds the agreed range."
Pit 2: No freight rate explanation is included in CIF reporting during peak season
SCFI has risen for eight consecutive weeks. Starting from October 1, the GRI of the US line will be increased by US$2,000 - 3,000 per 40-foot container. If the CIF quotation does not specify the basis for the freight rate, the price increase will have to be absorbed by itself when booking. Practice: Mark "Sea freight is based on the actual rate on the booking date."
Pit 3: There is no quote validity period
Raw materials and exchange rates are both moving, and indefinite quotations are tantamount to digging a hole for yourself. Practice: Clearly write the words "This quotation is valid for 30 days from the date of issue" and set it according to the actual cycle.
Pit 4: The payment method is written too casually
Only writing "T/T" without ratio and time point is equivalent to opening up risk exposure. Practice: Write complete conditions such as "T/T 30% deposit, 70% payment on a copy of the bill of lading", and new customers should use credit sales with caution.
Pit 5: Specifications and certification terms are vague
The customer's drawings are inconsistent with the quotation specifications, which is a high-risk area for disputes in the later period. Practice: A specification confirmation column is attached to the quotation sheet, indicating which version of drawings the quotation is based on and who will bear the export certification fees.
4. Cost accounting: Where does the confidence of the quotation come from
- CIF price = ex-factory price + inland freight + customs declaration miscellaneous fees + sea freight + insurance premium + expected profit, listed item by item, each item can be explained to the customer.
- Refer to the latest market price for sea freight: The WCI for Drewry on September 24 was US$4,468/40 feet, US$7838 from Shanghai-Los Angeles, and US$10373 from Shanghai-New York. There are great differences between different routes. Check them one by one according to the port of destination before quotation.
- Leave a buffer for profits: freight rates and exchange rates fluctuate during peak seasons, and quotations are calculated conservatively, so that there is room for concessions during negotiations.
5. Presentation details of the quotation
- Send it in PDF, with a fixed layout and no version, and the company name and product model are included in the file name.
- Bilingual in Chinese and English, the company uses internationally accepted writing methods to avoid colloquial abbreviations.
- Attach a real shot or specification chart of the product, which corresponds to the price one by one, reducing back and forth confirmation.
- Complete signature: salesperson's name, email address, telephone number (including international area code), and company address.
6. Special reminders for peak season quotations
Concentrated shipments before the holiday: container ships to the United States increased by 8.3% year-on-year in half a month, and port throughput increased by 4.4% year-on-year in four weeks. Both shipping space and delivery dates may be tight. When quoting, the delivery time is provided with a buffer, it is clear that "the actual booking shall prevail", and the cost of the U.S. line after the GRI increase on October 1 will be confirmed in advance with the freight forwarder, and then the CIF price will be quoted to the customer.
3 issues that factory owners are most concerned about
Customers are only willing to make FOB. Do you want to accept it?
You can accept it, but the risks in the link must be controlled: confirm the freight forwarding qualifications, loading dates and trailer arrangements specified by the buyer, and leave a written record of the handover of documents; also confirm the IOR importer qualifications (Form 5106) with the customer for orders to the United States to avoid the goods arriving at the port. Stuck.
The exchange rate is constantly changing, how to determine the quotation?
When quoting, the median price of the day is used as a reference basis and floating terms are written, for example,"Based on the median price of 6.7399 on September 28, fluctuations exceed the agreed range are negotiated by both parties"; large long orders can communicate with banks with forward currency locking tools to turn Uncertainty into controllable costs.
When quoting CIF price, how much is the sea freight calculated?
Check the latest freight rates one by one by one according to the port of destination: Shanghai Shipping Exchange SCFI sub-route quotations and Drewry WCI can be used as a reference, plus peak season surcharges; the quotation states that the freight rates are valid and "subject to the booking date", so the freight rates will not fluctuate completely on you.
Conclusion and action recommendations
A quotation is the facade of foreign trade and the first gate to profit: 8 elements are fully matched, FOB and CIF responsibilities are clearly defined, exchange rates and freight rates are written into the terms, and 5 common pitfalls are avoided in advance. It is recommended to upgrade the company's quotation template to a version today according to the list here. If you want to evaluate your factory's overseas plans, you can contact Qihang AI (telephone 180-0327-6609).
This article was written by Qihang Zhilian Trade Research Institute and was released on September 28, 2026. Please refer to the latest requirements of the competent authority for policy content.
