Freight & Logistics
How Freight Shipping Costs from China Are Actually Calculated
By Alice Wu, CEO & Founder Published · Last updated
Short answer
Sea FCL is priced per container, sea LCL by volume or weight (whichever is greater), and air freight by chargeable weight, the higher of actual or volumetric weight. Two quotes only compare fairly once the Incoterm, door-to-door vs port-to-port scope, destination duties, and load type match.
Why Freight Quotes Are Never Apples-to-Apples
Two freight quotes for what sounds like the same shipment can differ by a wide margin, and it’s rarely because one forwarder is simply cheaper. The difference usually comes from what’s actually included: some quotes cover door-to-door, others cover port-to-port only; some bake in customs clearance fees, others add them later; some assume a full container, others price a shared/consolidated load.
How Sea Freight Pricing Works
- FCL (Full Container Load) is priced per container (20ft or 40ft), regardless of how full it is. The economics favor filling the container.
- LCL (Less than Container Load) is priced by volume (cubic meters) or weight, whichever is greater — your shipment shares container space with other cargo, which costs more per unit of goods but far less than booking a whole container you don’t need.
- Base ocean freight rate fluctuates with market capacity, seasonality (pre-holiday shipping surges are a known pattern), and the specific trade lane.
- Destination charges (terminal handling, documentation, delivery order fees) are often quoted separately from the base ocean rate and easy to miss when comparing two quotes.
How Air Freight Pricing Works
- Chargeable weight is the higher of actual weight or volumetric weight (calculated from the shipment’s dimensions) — a light but bulky shipment can cost more than its actual weight suggests because it’s priced on volumetric weight instead.
- Fuel and security surcharges are typically added on top of the base rate and can shift with jet fuel prices.
- Consolidated vs. direct air freight affects both price and transit time — consolidated air cargo is cheaper but can add a day or two to transit compared to a direct booking.
Here’s how the billable basis differs by mode. The volumetric divisors below are the common industry standards (volume in cm³):
| Mode | Billed by | Volumetric weight formula | Extras often quoted separately |
|---|---|---|---|
| Sea FCL | Per container (20ft or 40ft), however full | — | Destination terminal handling, documentation, delivery order fees |
| Sea LCL | Cubic meters or weight, whichever is greater | — | Destination charges |
| Air freight | Chargeable weight (higher of actual or volumetric) | L × W × H ÷ 6000 | Fuel and security surcharges |
| Express courier | Chargeable weight (higher of actual or volumetric) | L × W × H ÷ 5000 | Fuel surcharge |
Hidden Costs That Change the Real Total
- Customs clearance and duty at the destination, which depends on product classification (HS code) and destination country, not on the freight forwarder.
- Storage or demurrage fees if a shipment sits at port or in a warehouse longer than the free period.
- Last-mile delivery from the destination port or airport to your actual warehouse or address, which is sometimes quoted separately from the main freight line.
How to Actually Compare Two Quotes
Ask each quote to specify: Incoterm basis, whether it’s door-to-door or port-to-port, whether destination customs and duties are included, and whether it’s FCL, LCL, or consolidated air. Once those four things are equalized, the price difference becomes meaningful instead of misleading. If you’d rather have duties and delivery bundled into one number, ask for a DDP door-to-door quote.
Getting a Quote That’s Actually Comparable
We quote freight with the basis stated clearly up front — what’s included, what Incoterm it assumes, and what could add cost at destination — so you’re not left reconciling three different quote formats. Send us your shipment specs for a quote you can actually compare against alternatives.