Pre-Shipment Inspection (PSI)

Pre-Shipment Inspection (PSI) refers to the sampling inspection or full inspection of goods by the buyer or a third-party inspection agency commissioned by the buyer before the goods leave the factory or are shipped, to check quality, quantity, packaging, specifications, etc., and confirm compliance with contract requirements. This term is commonly used in international trade, especially in industries such as bulk commodities, electronics, and apparel. Usage scenarios include: the buyer stipulates PSI clauses in the letter of credit or contract to ensure receipt of qualified goods; or the exporting country's government commissions an inspection agency to conduct mandatory inspection of specific commodities. Notes: PSI should be conducted when the goods are ready but not yet shipped; inspection standards must be clear; the party bearing the costs should be agreed upon clearly; if the inspection fails, the buyer has the right to reject the goods or request rectification. Unlike 'inspection upon arrival', PSI is completed before shipment, allowing quality issues to be identified in advance and reducing the risk of returns; unlike 'factory audit', PSI targets a specific batch of goods rather than the production system.