Description of Goods

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📖 Detailed Explanation

Description of Goods is an accurate, complete, and concise statement of the characteristics of the subject matter of a transaction—such as product name, specifications, model, material, grade, quantity, and packaging—in core documents including foreign trade contracts, letters of credit, commercial invoices, packing lists, and customs declarations. Its use scenarios run through the entire trade process: it defines the subject matter when a contract is concluded, serves as the basis for bank document examination under a letter of credit, is used for customs classification and supervision during customs declaration and inspection, and is recorded on the bill of lading in the transport stage. Precautions include: it must be strictly consistent with the letter of credit and other documents; vague or general terms should be avoided; internationally accepted product names should be used and comply with customs tariff requirements; and attention should be paid to the difference from 'Name of Goods'—the latter refers only to the product name, while Description of Goods covers more comprehensive technical parameters and commercial characteristics. Compared with the 'Quality Clause,' Description of Goods focuses more on specific itemization at the documentary level rather than the allocation of quality responsibility.

📝 Examples

1. According to the requirements of the letter of credit, the Description of Goods on the commercial invoice must be exactly consistent with the text of the letter of credit, for example: 'Description of Goods: 100% Cotton Men's T-Shirts, Article No. TS-2024, 5000 pcs, Packed in cartons.' (This indicates that under a letter of credit, the Description of Goods must match word for word to avoid discrepancies.) 2. In the customs declaration form, the Description of Goods should be accurately filled in as: 'Stainless Steel Kitchenware: Stainless Steel Pot, Model SC-101, Material 304 Stainless Steel, Specification 20cm, Quantity 2000 pcs.' (This indicates that in customs declaration, the Description of Goods should include elements such as product name, material, specification, and quantity to facilitate customs classification and value review.)

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