The responsibilities and expenses between them are different:
The responsibility for booking shipping space and handling insurance under FOB lies with the buyer, while CIF lies with the seller.
There are also freight and insurance fees to be borne by the buyer on FOB basis and by the seller on CIF basis.
They also have the same view:
All deliveries are made at the port of shipment of the exporting country.
Risk division is bounded by the ship's side at the port of shipment.
The applicable modes of transportation are all water transportation.
The specific explanation of each term is as follows.
(1) FOB: Free on board at the port of shipment.
Definition: It means that the seller delivers the goods to the ship designated by the buyer at the designated port of shipment within the agreed time limit after completing the export customs clearance procedures, that is, he completes the delivery obligation and bears all expenses, risks and procedural responsibilities before the goods are shipped; The buyer must bear all costs and risks when the goods cross the ship's rail at the port of shipment.
Obligations of the Buyer and the Seller under the terms of 1. FOB:
(1) seller's obligation (1) to deliver the goods conforming to the contract to the ship designated by the buyer at the designated port of shipment within the date or period stipulated in the contract, and give the buyer sufficient notice; (2) bear all expenses and risks before the goods cross the ship's rail at the port of shipment; (3) Obtaining an export license or other official approval documents and going through the customs formalities required for the export of goods; (4) Provide commercial invoices and usual documents, or electronic information with the same effect.
(2) The buyer is obliged to pay the price as stipulated in the contract; (2) To charter a ship or book a space, pay the freight, and give the seller full notice of the name of the ship, the loading place and the required delivery time; (3) bear all expenses and risks after the goods cross the ship's rail at the port of shipment; (four) to obtain an import license or other official approval documents, and to go through the customs formalities required for the import of goods; ⑤ Accept the goods delivered by the seller according to the contract and accept the documents provided by the seller.
(2) CIF: cost plus insurance plus freight.
Definition: It means that after the seller goes through the export customs clearance formalities, the goods that have been transported, insured and paid the required freight and insurance fees are delivered to the ship designated by the buyer within the agreed time limit, that is, the delivery obligation is completed; The buyer shall bear all risks when the goods cross the ship's rail at the port of shipment.
1. Main Obligations of the Buyer and the Seller (1) Seller's Obligations ① Deliver the goods to the ship at the port of shipment within the date or period stipulated in the contract, and give the buyer sufficient notice; (2) bear all risks until the goods cross the ship's rail at the port of shipment; (3) chartering or booking shipping space, paying freight, handling waterway transportation insurance of goods and paying insurance premium; (4) Obtaining an export license or other official approval documents and going through the customs formalities required for the export of goods; ⑤ Provide commercial invoices and common documents, or electronic information with the same effect. (2) The buyer is obliged to pay the price as stipulated in the contract; (2) bear all risks after the goods cross the ship's rail at the port of shipment; (3) Obtain an import license or other official approval documents and go through the customs formalities required for the import of goods; (4) Accept the goods delivered by the seller according to the contract and the documents conforming to the contract.
Should understand?
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I seem to have read the wrong question. Do you want to translate your two sentences?
CIF is the abbreviation of cost, insurance and freight, and it is a foreign trade term that requires exporters to pay the cost, insurance and freight of export.
FOB is the abbreviation of FOB price, which is another foreign trade mode. In this mode, the exporter's only obligation is to deliver the goods to the ship, and other expenses, including chartering fees, should be paid by the importer.
I translated it myself, I can't guarantee it ~ hehe