Cost Guide

Packaging Shipping Cost & Landed Cost Guide

August 19, 2026 · By Linda Wang, Packaging Specialist

How do you calculate the real landed cost of imported packaging?

By Packaging Factory Direct Editorial Team

Direct answer

Landed cost equals product price plus freight, insurance, customs duties, and local delivery. Freight for packaging is usually charged by dimensional weight, so collapsible structures like folding cartons and mailer boxes ship much cheaper than rigid or magnetic boxes of the same volume.

Comparison table

Cost item	How it is calculated	Buyer action
Product price (FOB)	Unit price at factory	Get FOB price per structure and MOQ
Freight	By weight or dimensional weight	Choose collapsible structures to cut volume
Insurance	Small % of cargo value	Optional but recommended for large orders
Duties & taxes	Tariff + VAT/GST of destination	Check HS code and destination rates
Local delivery	Port to warehouse	Include trucking in the comparison

RFQ checklist

FOB or CIF price per unit
Packed dimensions and weight per carton
Destination port or address
Incoterm preference
Tariff classification (HS code) assistance

FAQ

Why does freight cost more than the boxes sometimes?

Rigid and magnetic boxes are bulky and non-collapsible, so dimensional weight drives freight above the product cost for small orders. Collapsible structures reduce this.

How can I reduce packaging shipping cost?

Choose collapsible structures, reduce inner packaging, consolidate SKUs into one container, and compare FOB vs CIF quotes.

What is dimensional weight?

Freight carriers charge by volume (length x width x height / divisor) when it exceeds actual weight. Packaging is often billed this way.

Do you provide HS code assistance?

Yes. Packaging Factory Direct can help confirm the correct tariff classification for your box or pouch with your freight forwarder.