Airlift Logistics suggests that first-time importers from China to Dubai buy on FOB rather than EXW, check approvals before the factory ships, and budget on landed cost. On AED 109,000 of cargo, duty and VAT alone can add about AED 11,173.
Why this lane matters
China is the largest source of UAE imports by value, at about $84 billion in 2024. Forwarders know this lane well, which makes it competitive. That also means the common mistakes are rarely about freight. They come from the terms you agreed with the factory and from approvals you did not check.
Mistake 1: buying on EXW because it looks cheaper
EXW makes the buyer responsible from the factory door, including pickup and Chinese export clearance. That is hard to manage from Dubai on a first order.
Mistake 2: finding out about approvals on arrival
| If you import | Check with | Before |
|---|---|---|
| Electronics and regulated products | The factory ships | |
| Cosmetics and consumer products | The factory ships | |
| Food | The factory ships | |
| Goods with batteries | You choose the mode |
Mistake 3: comparing freight and ignoring landed cost
- Goods value
- AED 100,000Commercial invoice
- Freight and insurance
- AED 9,000Assumed for this example
- CIF value
- AED 109,000The value duty is based on
- Customs duty at 5%
- AED 5,4505% of CIF
- Import VAT at 5%
- AED 5,7235% of CIF plus duty
Duty and VAT come to about AED 11,173. Local charges and delivery are extra. Your HS code decides the actual rate. Try your own numbers in the duty and VAT estimator.
Air or sea for your first order?
Samples and small urgent orders usually go by air freight. Regular stock generally goes by sea freight through Jebel Ali. Work out your FCL vs LCL break-even once your volume is clear, and see where China sits among the other shipping routes from Dubai.
Documents to ask the factory for
- Commercial invoice showing the true value and HS code.
- Packing list with weights and sizes per carton.
- Certificate of origin, where required.
- or air waybill from the carrier.
Quick answers
Should I buy FOB or EXW from a Chinese factory?
FOB is usually safer than EXW for a first import from China. Under FOB, the seller handles Chinese export clearance and delivers to the port. Under EXW, you take responsibility from the factory door, including pickup and export formalities. Experienced importers with a strong agent in China may still choose EXW for more control.
- Check the named port on your FOB price.
- Incoterms do not cover ownership or payment.
What is landed cost when importing to the UAE?
Landed cost is the total cost of getting goods to your door. It includes the product price, freight, insurance, customs duty, import VAT, port and terminal charges, customs brokerage and local delivery. Businesses use it to set a selling price, because the factory price alone can hide a large part of the true cost.
- Duty is generally 5% of CIF value.
- Import VAT is 5% of CIF plus duty on taxable goods.
Sources: Dubai Customs, Ministry of Industry and Advanced Technology, Dubai Municipality, ICC Incoterms rules, Trading Economics. How we check our content.
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