In export agency business, there is no absolute standard for the subject that bears the warehousing fee, and it is usually judged based on specific circumstances. If the cost-bearing party is clearly specified in the trade contract, then it shall be implemented in accordance with the contract. If the contract does not make any provisions, from the perspective of industry practices, there are several common situations. If it is an FOB (Free on Board) term, the seller usually bears the warehousing fee because the seller is responsible for all costs and risks before the goods are delivered on board the designated port of shipment, and warehousing falls within this category. Under CIF (Cost, Insurance and Freight) or CFR (Cost and Freight) terms, the seller bears the freight for the goods to the port of destination, and at this time, the warehousing fee is generally also borne by the seller. However, if there are special agreements or additional services during the operation by the freight forwarder or export agency that lead to the generation of warehousing fees, it may be different. It is recommended that you have friendly consultations with the client to determine a reasonable cost-bearing party based on the trade terms and actual situation to avoid affecting the cooperative relationship.
Professional consultant answers
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
In export agency business, there is no absolute standard for the subject that bears the warehousing fee, and it is usually judged based on specific circumstances. If the cost-bearing party is clearly specified in the trade contract, then it shall be implemented in accordance with the contract. If the contract does not make any provisions, from the perspective of industry practices, there are several common situations. If it is an FOB (Free on Board) term, the seller usually bears the warehousing fee because the seller is responsible for all costs and risks before the goods are delivered on board the designated port of shipment, and warehousing falls within this category. Under CIF (Cost, Insurance and Freight) or CFR (Cost and Freight) terms, the seller bears the freight for the goods to the port of destination, and at this time, the warehousing fee is generally also borne by the seller. However, if there are special agreements or additional services during the operation by the freight forwarder or export agency that lead to the generation of warehousing fees, it may be different. It is recommended that you have friendly consultations with the client to determine a reasonable cost-bearing party based on the trade terms and actual situation to avoid affecting the cooperative relationship.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
Generally speaking, if the freight forwarder is designated by the client and the client does not mention the sharing of warehousing fees when designating the freight forwarder, the client is more likely to bear the warehousing fee because the client may have their own arrangements in designating the freight forwarder.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
If the export agency and the client have a long-term cooperation and the cost-bearing model was relatively fixed before, and there is no agreement this time, perhaps the bearer of the warehousing fee can be determined by referring to past practices.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
Sometimes the level of the warehousing fee is related to the volume, weight, etc. of the goods. If the goods are special and the warehousing is difficult, resulting in high costs, it can be divided according to responsibilities. For example, if it is due to the characteristics of the goods, the party providing the goods shall bear it.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
From a fair perspective, if the warehousing fee is caused by the temporary adjustment of the charging standard by the warehouse rather than the reason of either party, the two parties can negotiate to share it.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
If the export agency is more familiar with the warehousing process and takes the lead in arranging the warehousing, from the perspective of liability attribution, it is possible for the export agency to bear part or even all of the warehousing fee.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
In some cases, if the client requests the goods to be warehoused urgently and additional urgent warehousing fees are incurred, the client is more likely to bear these fees.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
If the warehousing of the goods involves special packaging, marking, etc. requirements, the warehousing fee generated therefrom should be more appropriately borne by the party that puts forward these requirements.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
If the export agency provides value-added services that increase the warehousing fee, and the value-added services are provided at the request of the client, the client may have to bear this part of the cost.