Used car from China: total landed cost, explained
A real budget needs more than the FOB price. Here's every layer between an offer from China and a car you can legally drive — and who can quote which part.
Last reviewed: 2026-06-14
Start with what FOB actually means
Most China used-car exports are quoted FOB (Free On Board, Incoterms 2020) from major Chinese ports (Nansha, Shenzhen, Ningbo and Shanghai). That price covers the vehicle, pre-export servicing, domestic transport to the port, export customs and loading — everything up to the moment the car is on the vessel. From that point on, the costs below are the buyer's side. Treat the FOB price as the foundation of your budget, not the total.
The cost layers, in order
| FOB price | The vehicle, prepared and loaded at the Chinese port — quoted firm by your exporter |
|---|---|
| Ocean freight | Container or RoRo, port-to-port — your exporter can usually get a current estimate from their forwarder for your destination port |
| Marine insurance | Typically a small percentage of the insured value — arranged either by you or your exporter depending on the deal |
| Import duty | Set by your country's customs, usually as a percentage of the assessed value — varies by vehicle type, engine size and sometimes age |
| VAT / sales tax | Where applicable, usually charged on (value + duty + freight) combined, not on the FOB price alone |
| Port handling & clearance fees | Local port charges, customs broker fee, document processing — quoted by your local broker |
| Inland transport & registration | Getting the car from your port to its final location, plus local inspection/registration fees |
This is a framework for budgeting, not a calculator with numbers — duty, VAT and clearance fees are set by your country and change over time. Always get current figures from your local customs broker before committing.
Who can quote what
- We quote the FOB price firm — it's our side of the deal, and it's the number that doesn't move once your PI is issued.
- We can usually get you a current freight estimate for container or RoRo to your port, from our forwarder partners — useful for budgeting, confirmed at booking.
- Your customs broker quotes duty, VAT, port fees and clearance — these depend on your country's current tariff schedule and the specific vehicle (engine size, value, sometimes age), so only someone working with your country's customs can give you a real number.
If you don't yet have a customs broker, ask us — we work with import processes in several markets and can usually point you toward a contact, though the relationship and the quote are between you and them.
Why engine size and vehicle type change the total — even at the same FOB price
In many countries, duty and VAT scale with engine displacement or vehicle category rather than being a flat amount. Two cars at the same FOB price — say a compact sedan and a larger SUV with a bigger engine — can land at noticeably different totals once your country's duty schedule is applied. This is one more reason to check your country's import rules (and any country-specific guide we've published, such as Saudi Arabia or Algeria) before settling on a model — the cheapest FOB price isn't always the cheapest landed cost.
Building your own estimate
- Get the firm FOB price for the specific car (VIN-level, not a listing price).
- Add a freight estimate for your destination port — ask us for a current figure from our forwarders.
- Ask your customs broker for duty + VAT + clearance on that vehicle's value, engine size and category under your country's current rules.
- Add a margin for inland transport and registration — usually the smallest line item, but don't forget it.
Sum those four numbers and you have a realistic landed cost — built from a firm number (FOB), an estimate (freight), and figures only your country's customs can confirm (duty/VAT/clearance). Anyone skipping straight to a single round number for all of this is guessing on your behalf.
Browse current stock to see FOB pricing on specific vehicles, or tell us your model and destination — we'll provide the FOB quote and a freight estimate to start your calculation.
Frequently asked questions
Is the FOB price the price I actually pay?
It's the price for the car ready-loaded at the Chinese port — not the final number. Ocean freight, marine insurance, and everything at and after your destination port (duty, VAT, clearance fees, local transport) are separate and are the buyer's side under FOB terms. Anyone quoting a single all-in number for a car they haven't shipped yet is estimating, not confirming.
Which of these costs can the exporter actually quote, and which can't they?
An exporter can give you an indicative FOB quote first, then a formal FOB offer with a named China loading port and, usually, a freight estimate from their forwarder for your destination port. Duty, VAT and local clearance fees are set by your country's customs and depend on vehicle value, engine size, age and sometimes vehicle type — only your local customs broker can give you the exact figure.
Why do two cars with the same FOB price sometimes have very different total costs?
Because duty and VAT in most countries scale with declared value, engine displacement, or vehicle category — not a flat fee per car. A larger-engine SUV and a small sedan at the same FOB price can land at meaningfully different totals. This is exactly why checking your country's rules (engine size limits, EV/hybrid treatment) before choosing a model matters.
Does the total landed cost include getting the car registered to drive?
Not usually — registration, local inspection and plates are typically a final, separate step after customs clearance, with its own (usually smaller) fees. Your customs broker or a local agent can tell you what that step costs and requires in your country.
Disclaimer: import regulations change and are applied by the destination country's customs at the time of clearance. The information on this page is general guidance, not legal advice — always confirm current rules with your local customs broker before paying a deposit. Under FOB terms, import compliance and clearance are the buyer's responsibility; we flag obvious issues (such as vehicle age limits) before you commit.