A DDP quote from China to the US is usually one number. That is the point of it, and that is also the problem — because one number tells you nothing about where it stops.
Three forwarders quote the same shipment. Three different totals. None of them says what happens when the container reaches Los Angeles and customs wants a closer look.
The short answer, worth holding onto:
A DDP price from China to the US covers six cost groups: origin pickup, export handling, ocean or air freight, US import clearance, duty and taxes, and final delivery to the agreed address. It does not cover examination fees, demurrage or detention, storage, special delivery handling, or any cost that arises because the cargo was described differently than it arrived.
The rest of this page is the breakdown behind that sentence.
The six cost groups, in order
DDP — Delivered Duty Paid — means the seller delivers to the named place with import clearance handled and duty paid. On a China-to-US shipment, that translates into six groups, and they occur in this sequence.
| # | Cost group | What it covers | Incurred |
|---|---|---|---|
| 1 | Origin pickup | Collection from the supplier’s factory or warehouse, transport to the loading point | China |
| 2 | Export handling | Export declaration, origin port or airport charges, documentation | China |
| 3 | Main freight | Ocean freight (FCL or LCL) or air freight, plus applicable surcharges | In transit |
| 4 | US import clearance | Brokerage, entry filing, release coordination | US port or airport |
| 5 | Duty and taxes | Duty and import taxes assessed per the classification used | US entry |
| 6 | Final delivery | Terminal handling, drayage or trucking to the agreed address | US inland |
The order matters. Groups 1 and 2 happen before you can even see the freight. Groups 4 to 6 happen weeks later, which is why the boundary between groups is where disagreements start.
Read the list as a description of scope, not a guarantee that every line applies identically to your shipment. A supplier 40 minutes from Ningbo and one 900 kilometres inland do not produce the same pickup cost.
What DDP does not include
This section decides whether your landed cost matches the quote — and it is the part almost no quote puts in writing.
Examination fees. If CBP selects the container for an exam, the cost — terminal handling, transport to the exam site, and the exam itself — is charged on top. A DDP quote does not normally absorb it, because the amount is unknown until it happens.
Demurrage and detention. Two charges, two clocks. Demurrage accrues while the container sits at the terminal past free time. Detention accrues while the empty is out past free time.
Storage and waiting time. If the destination warehouse cannot receive on the booked day, the truck waits. Waiting has a price.
Special delivery handling. Liftgate, inside delivery, an appointment outside normal hours, a residential address, limited access. Each costs more than a standard dock delivery.
Costs from a description that changes. If the actual goods, quantity or value differ from what was declared, the duty changes. A DDP price is calculated on the information provided.
The pattern: DDP covers what was planned. It does not cover what went wrong, and it does not cover what was never described.
Why three China-to-US DDP quotes differ
If the scope is standard, why do the totals differ by thousands?
Different duty assumptions. Duty depends on the HTS classification, which depends on material, construction and intended use. Two forwarders can classify the same product differently, and the difference lands directly in the quote.
Different origin scope. One quote includes factory pickup in Guangdong. Another assumes the supplier delivers to a Shenzhen warehouse. That is a real cost difference.
Different freight basis. Contract rates, spot rates, and different sailing dates produce different freight. Two quotes a week apart may simply be two different markets.
Different delivery assumptions. A quote built on a commercial dock in Long Beach and one built on a residential address in Ohio with a liftgate requirement are not comparable — even though both say “DDP to your door.”
Different written exclusions. One quote states in writing that exam fees are excluded. Another excludes them silently. The number looks lower until the exam happens.
DDP versus DAP on the same shipment
This causes the most confusion, because DAP and DDP deliver to the same place.
Under DAP, the seller delivers to your address, and you handle US import clearance and duty. The goods arrive at your door with a customs bill still ahead of you.
Under DDP, the seller delivers to your address with clearance complete and duty paid.
The physical delivery is identical. The only difference is the customs side. So when two quotes differ widely and one says DAP, the gap is not a better deal — it is a different scope. Duty plus brokerage sits between them.
If you already have a customs broker and a bond, DAP can be the cleaner arrangement — you keep the entry and the duty lands on your own account. If you do not, DDP removes that step entirely.
How to compare two China-to-US DDP quotes
Five questions turn a price comparison into an actual comparison.
1. “Which of the six groups are included?” Ask for item-by-item confirmation. A forwarder who can answer in a table has thought about your shipment.
2. “What is excluded, and which exclusions could apply to this cargo?” The second half is the important half. Every quote has exclusions; only some are relevant to you.
3. “What classification and duty basis did you use?” Duty is the single largest variable. Without the basis, you cannot compare.
4. “What delivery address and what access conditions?” Dock or no dock, appointment or not, commercial or residential. These change the trucking cost.
5. “What happens if the container is examined or the delivery is missed?” The answer tells you whether the quote is a plan or a headline.
What to send for a quote you can actually compare
Six pieces of information make the difference between a number and a plan.
- Product description — materials, construction, intended use
- Quantity and packing — carton count, dimensions, gross weight, volume
- Supplier location in China and the cargo-ready date
- US destination address — dock access and appointment requirements
- Whether duty should be included or shown separately
- Any special handling — liftgate, inside delivery, appointment window
Contact us for a China-to-US DDP quote, or start with DDP door-to-door to see how the scope is defined.
FAQ
Is duty included in a DDP quote from China to the US?
Under DDP the seller is responsible for duty, so a properly scoped quote includes it. What varies is the basis — which HTS classification and declared value the duty was calculated on. Ask for the basis, not just the total.
Does DDP include delivery to my US warehouse?
It includes delivery to the address named in the quote, subject to the access conditions assumed. A warehouse with a loading dock is a different delivery from a residential address requiring a liftgate.
Who pays if CBP examines the container?
Examination fees are normally charged on top of the DDP quote, to the party that booked the shipment. The cost is not knowable in advance, which is why it sits outside the scope rather than inside the estimate.
Can a DDP quote be lower than a DAP quote?
Yes, and it usually means the scopes differ. DAP leaves clearance and duty to you; DDP covers them. Compare only after adding duty and brokerage to the DAP side.
What if my product gets reclassified?
Duty follows the classification applied at entry. If the classification changes, the duty changes, and so does the landed cost. A DDP quote should state its classification assumption in writing.
Related services
Related reading
- EXW vs. FOB vs. DAP vs. DDP: what’s the difference for importers
- Converting an FOB quote to DDP
- What is an HTS code?
- Demurrage and detention explained
Sources
- International Chamber of Commerce — Incoterms 2020
- U.S. Customs and Border Protection — Entry summary and duties
- U.S. International Trade Commission — HTS
- Federal Maritime Commission — oversees demurrage and detention practice in US ocean trade
