Now many apparel companies feedback, recently many U.S. customers require FOB delivery terms to LDP delivery, because U.S. customers want to lock in their costs, reduce their risk, with the most convenient way for them to trade transactions, but also want to reduce their costs, and would like to make exporters can be supplied at a low price, but also to the door. Simply put, doing business who want to maximize profits and minimize risk.

Due to the increasing competition in the market in recent years, the domestic clothing, textile export enterprises can only survive in the cracks, wandering in the zero profit critical point of the edge of the LDP form of trade, in the textile export trade, occupies a very important place. Due to the flexible and changeable form of reasonable tax avoidance, a lot of Chinese and American trading enterprises of the purchase and sale of both sides of the favor. In such a form of trade, the right of goods guarantee and customs clearance rate, then become the key to all transportation links.

Understand that most of the foreign buyers or buyers set up in China will choose DDP/LDP trade terms for procurement, because the cost is controllable. Apparel and textile industry gross margin between 5%-10%, because of the low gross profit, so the export of the United States is more important to the price of logistics freight, saving logistics costs to improve the gross profit of clothing and textiles itself.

That is to say, most of the U.S. customers are now hoping that the supplier to use this way to close the deal, the current market feedback: now the guests generally let the supplier to report FOB and LDP prices, and then he himself according to the price, the advantages, to choose a way to close the deal!