Article Content
- 1 1. Introduction — Why do import businesses only revolve around these 4 conditions??
- 2 2. Hiểu nhanh bản chất 4 điều kiện (in 2 minutes)
- 3 3. FOB comparison table, CIF, CFR, DDP (intuitive)
- 4 4. Phân tích sâu từng điều kiện (góc nhìn DN nhập khẩu)
- 5 5. So sánh các cặp dễ nhầm nhất
- 6 6. Nên chọn điều kiện nào? (theo từng tình huống)
- 7 7. 3 common mistakes when choosing delivery terms
- 8 8. Conclude & Consulting from CQL
1. Introduction — Why do import businesses only revolve around these 4 conditions??
Trong thực tế xuất nhập khẩu năm 2026, More than 80% of container shipments of Vietnamese businesses only use 4 Incoterms conditions: FOB, CIF, CFR and DDP.
Lý do rất đơn giản: These 4 conditions cover almost all needs from "wanting to control costs" to "wanting simplicity"., less to worry about". However, It is this familiarity that causes many SMEs to make the wrong choice. As a result, shipping costs are increased by 15–30%., Local charges arise uncontrollably, even lose the initiative of the entire shipment.
Compare FOB CIF CFR DDP It's not just theoretical — this is a decision that directly affects each batch's profits. Choosing the right one helps businesses optimize costs. Choose wrong, Businesses lose control right from the transportation stage.
In CQL, We once supported a business importing plastic materials worth 1,2 billion VND. Just by choice CIF, The shipment had an additional 68 million VND in local fees and demurrage. After switching FOB, Businesses have complete control over charges and save significantly.

2. Hiểu nhanh bản chất 4 điều kiện (in 2 minutes)
FOB (Free on Board): The seller delivers the goods over the ship's rail at the port of export. From then on, Importing businesses bear all shipping costs and risks.
CIF (Cost, Insurance and Freight): Seller pays main freight + buys insurance to destination port. Importing enterprises only receive goods at Vietnamese ports.
CFR (Cost and Freight): Alike CIF But the seller did not buy insurance.
DDP (Delivered Duty Paid): The seller takes full responsibility, Delivery to the warehouse of importing enterprises, have paid import tax.
These four conditions are completely different in three key factors: expense, risk and control.
To get an overview of the 11 Incoterms 2020 conditions, Businesses can refer to the article What are Incoterms?? 11 Most Easy-to-Understand Delivery Conditions of 2026.
3. FOB comparison table, CIF, CFR, DDP (intuitive)
Below is the most detailed comparison table available today:
| Criterion | FOB | CIF | CFR | DDP |
|---|---|---|---|---|
| Who charters a ship? & pay the main fee | Buyer | Seller | Seller | Seller |
| Who bears the risk after the export port? | Buyer (from the ship's railing) | Buyer (from the ship's railing) | Buyer (from the ship's railing) | Seller (to buyer's warehouse) |
| Who buys insurance? | Buyer | Seller | Do not have | Seller |
| Right to control transportation | Cao (choose the forwarder yourself) | Short | Short | Very low |
| Local charge fee in Vietnam | Buyer bears | Usually the buyer still accepts it | Usually the buyer still accepts it | The seller bears it |
| Import tax & procedure | Buyer | Buyer | Buyer | Seller |
| Fits | Businesses want to optimize costs | New enterprise, want simple | Businesses want to be cheaper than CIF | Enterprises do not have a logistics team |

This table is the fastest decision tool for import businesses.
4. Phân tích sâu từng điều kiện (góc nhìn DN nhập khẩu)
FOB Biggest advantage: The enterprise has complete control over the shipping line, freight rates and forwarders. Disadvantages: Requires experience or a reliable forwarder. Real-life example: Shipment of 2 containers from Shanghai, use FOB Helps businesses save 42 million VND compared to quotes CIF of the supplier.
CIF Advantage: very simple, suitable for new businesses. Nhược điểm lớn: It's easy to "hidden fees" because sellers often choose expensive and slow shipping companies, Local charges still fall on the buyer. CQL Usually recommend that businesses only use it CIF when the shipment is small and there is no forwarder.
CFR Advantage: cheaper CIF an insurance fee. Disadvantages: Businesses must buy their own insurance, Otherwise, you will bear all risks during transportation.
DDP Advantage: most convenient, delivered to warehouse, have paid taxes. Disadvantages: The total price is usually the highest because the seller must consider tax and customs risks. Should only be used when the business does not have a logistics team.

5. So sánh các cặp dễ nhầm nhất
FOB vs CIF (cặp được hỏi nhiều nhất) FOB Allows businesses to control freight and forwarders. CIF tiện nhưng mất kiểm soát giá cước. Most businesses that want to optimize costs switch from CIF sang FOB.
CIF vs CFR Chỉ khác nhau ở bảo hiểm. CIF Seller buys insurance, CFR Not available. If the business already has its own insurance, then CFR noticeably cheaper.
CIF vs DDP CIF Stop at Vietnamese port, Enterprises do customs themselves. DDP Deliver to warehouse and pay tax on behalf. DDP More convenient but the price is 8–12% higher depending on the item.
6. Nên chọn điều kiện nào? (theo từng tình huống)
- New business importing for the first time: Should choose CIF for simplicity.
- Businesses want to optimize costs: Prioritize FOB.
- Businesses do not have a logistics team: Select DDP.
- Enterprises import high-value goods: Combine FOB + buy your own insurance.
Checklist for quick decisions:
- Does your business have a reliable forwarder??
- Do you want to control your own shipping costs??
- Do you accept risks in transportation??
- Goods with high value or need to be delivered to the warehouse?
CQL Apply this consulting flow to every shipment: Analyze needs → compare actual costs → propose the 2 most optimal options.
7. 3 common mistakes when choosing delivery terms
Mistake 1: Think CIF is “cheaper” → in reality rates and local charges are often higher FOB 15–25%.
Mistake 2: Use DDP but do not check clearly whether the seller paid the correct tax → disputes and fines arise later.
Mistake 3: No control over local charges in the contract → regardless of choice FOB hay CIF, Businesses still unexpectedly incur additional THC fees, sealing, documentation.
CQL once handled a case where a business was overcharged 87 million VND just because of a contract CIF không ghi rõ “all local charges at destination for buyer’s account”.
8. Conclude & Consulting from CQL
Compare FOB CIF CFR DDP Help import businesses make accurate decisions, Control costs and reduce real risks. There are no absolutely good conditions — only conditions that are appropriate for each business's situation.
CQL specializes in consulting on choosing appropriate Incoterms, Optimize logistics costs and support quick handling of unexpected fee cases.
Your business is preparing a shipment and needs to compare FOB, CIF, CFR, DDP specifically? Contact now CQL for practical support.
Cuong Quoc Freight Forwarding Company Limited
Office: 7th floor, Parami Building, 140 Bach Dang, Tan Son Hoa Ward, Ho Chi Minh City
Hotline: 0972 66 71 66
Email: info@cql.com.vn
Website: https://cql.com.vn/
(The article is based on ICC's Incoterms® 2020 and experience handling thousands of imported shipments in 2026.).
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