What Is the Real Total Cost, and Is the Supply Chain Stable?

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The cheapest factory quote is often not the cheapest landed product.

European sellers need to calculate landing cost: the full cost of getting goods from the Chinese supplier to a European warehouse, 3PL, or FBA location.

That includes product price, local transport, inspection, packaging, consolidation, international freight, customs clearance, duties, VAT, storage, and final delivery.

If you only compare EXW or FOB prices, your margin can look better than it really is.

YoungSourcing helps sellers compare suppliers by real landed cost, not by factory quote alone. We also help consolidate goods from multiple suppliers and plan replenishment before stock runs out.

Factory price vs landed cost

Cost itemOften missed?Margin impact
China domestic transportYesMedium
Packaging changesYesMedium
InspectionSometimesLow to medium
FreightPartlyHigh
Customs clearanceYesMedium
DutiesOften calculated lateHigh
VAT cash flowYesHigh
Storage and deliveryYesMedium
Stockout costRarely countedHigh

Example cost comparison

CostSupplier ASupplier B
Factory priceEUR 4.20EUR 4.45
China transportEUR 0.18EUR 0.08
Packaging fixEUR 0.20EUR 0.05
FreightEUR 0.95EUR 0.82
Customs and handlingEUR 0.22EUR 0.18
Expected rework or lossEUR 0.30EUR 0.08
Landing costEUR 5.85EUR 5.66

Supplier A looks cheaper at first. Supplier B is cheaper after freight, packaging, and quality risk are counted.

Landing cost checklist

  1. Confirm the trade term: EXW, FOB, CIF, DDP, or another term.
  2. Collect unit weight, carton size, units per carton, and order quantity.
  3. Calculate pickup, consolidation, labeling, palletizing, and warehouse costs in China.
  4. Compare sea, rail, air, and express options.
  5. Estimate duty, VAT, customs clearance, and local delivery.
  6. Add inspection, repacking, rework, and expected loss.
  7. Calculate landing cost by SKU.
  8. Build a replenishment plan based on sales speed and lead time.

Logistics comparison

MethodBest forMain concern
Sea freightLarge and planned ordersSlow transit
Rail freightEurope-bound goods needing medium speedRoute stability
Air freightUrgent or high-value goodsHigh cost
ExpressSamples and emergency stockVery high unit cost
ConsolidationMultiple suppliersCoordination
Full containerLarge repeat ordersInventory pressure

YoungSourcing helps sellers see the real cost before they buy, then coordinates suppliers, inspection, consolidation, and shipping so replenishment is easier to control.

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