Inspection Fee

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📖 Detailed Explanation

Inspection Fee refers to the cost incurred in foreign trade transactions when commodity inspection agencies perform inspection, appraisal, certification, and other operations on import and export commodities as required by contract or letter of credit. Its usage scenarios typically include: statutory inspection (such as statutory inspection by China Customs), customer-designated inspection (such as third-party inspection by SGS, BV, etc.), contractual inspection, etc. Notes: The party bearing the inspection fee must be clearly specified in the contract (usually borne by the seller or buyer, or shared as agreed); the fee amount varies depending on inspection items, agency, and quantity of goods; if the inspection fails, additional re-inspection fees may be incurred. Difference from other terms: Inspection Fee is different from Customs Clearance Fee, which is a customs brokerage service fee; it is also different from Tariff, which is a tax. Inspection Fee is a service fee, usually charged by the inspection agency. Foreign trade practitioners should note: include inspection fees in the cost when quoting; under letter of credit requirements, ensure the inspection certificate meets the requirements to avoid discrepancies.

📝 Examples

1. According to the contract, the seller shall entrust SGS for quality inspection before shipment, the inspection fee shall be borne by the seller, and payment shall be negotiated against the inspection certificate. (Note: Clarifies the party bearing the inspection fee and payment conditions) 2. This batch of goods is subject to statutory inspection, the inspection fee is charged at 0.5% of the goods value, estimated at about USD 500, and must be paid to the inspection agency before customs declaration. (Note: Calculation and payment timing of statutory inspection fees)

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