Distinguish cost from delivery risk
Under FOB, delivery and risk transfer occur when the goods are on board at the named shipment port. CIF also transfers risk on board at shipment, although the seller arranges freight and the required insurance to the named destination port. Paying for carriage to a destination does not mean risk transfers there. Review the applicable rule and written agreement with your logistics adviser.
Check the actual transport arrangement
Ask whether the vehicle will travel by the agreed sea service, container or a combination of transport modes. If handover is at a terminal before loading onto a ship, discuss whether FCA or another suitable rule is more appropriate. Confirm insurance scope, insured value and the claims procedure rather than treating the word insurance as complete cover. Identify who handles each stage and which evidence records vehicle condition at handover.
List destination costs separately
Request clarity on arrival handling, customs clearance, duties, taxes, storage and onward delivery. Obtain destination-specific advice before accepting an all-in interpretation of any quote. Compare offers only after their ports, delivery basis and included items match. For a useful TANK quotation, supply the model and trim, quantity, destination country and preferred port. The written proposal should make remaining buyer responsibilities visible and avoid confusing an export vehicle price with a fully registered local price.
Questions, answered.
Does CIF mean the vehicle is registered and tax-paid at my destination?
No. CIF does not by itself include import clearance, local taxes or registration. Check the agreed scope and local requirements.
Should every container quotation use FOB?
No. The appropriate rule depends on handover and transport. Discuss FCA when goods are handed to a carrier before vessel loading.
