One of the first questions every founder asks is simple—but the answer rarely is: “How much will it actually cost to manufacture my product in China?”
The short answer: more than just unit price.
The real answer: it depends on several cost layers that many first-time founders don’t budget for.
Below is a clear, transparent, founder-friendly breakdown of what manufacturing in China really costs—using realistic ranges, not sales promises.
1. Tooling & Mold Costs (One-Time, Upfront)
If your product is not 100% off-the-shelf, you’ll likely pay tooling costs.
Typical ranges:
Simple plastic mold: $500 – $2,000
Complex injection mold: $3,000 – $15,000+
Metal stamping or die casting: $2,000 – $20,000+
PCB tooling (electronics): $300 – $2,000
What founders often miss:
Tooling fees are usually paid before production
Some factories offer “shared molds” (lower cost, less exclusivity)
Mold ownership should be written into your agreement
Founder tip:
If a factory says “no tooling cost,” it usually means the cost is hidden in unit pricing.
2. MOQ (Minimum Order Quantity)
MOQs define how much cash you need upfront.
Typical MOQs:
Simple consumer products: 300 – 1,000 units
Electronics: 500 – 2,000 units
Custom packaging or colors: increases MOQ by 20–50%
What affects MOQ:
Custom materials
Custom colors
Logo printing
Packaging type
Founder tip:
Ask for a trial MOQ for the first order—many factories agree if they see long-term potential.
3. Unit Cost (What You See on the Quotation)
This is the number founders focus on—but it’s only part of the picture.
Example unit cost ranges:
Simple plastic product: $1.50 – $5
Fabric / soft goods: $4 – $12
Electronics accessory: $6 – $25
Small appliance: $20 – $60
What’s usually included:
Materials
Labor
Assembly
Basic packaging
What’s usually NOT included:
Shipping
Duties & taxes
Quality inspections
Custom packaging upgrades
4. Packaging Costs (Often Underestimated)
Packaging can quietly increase your cost per unit.
Typical ranges:
Plain box: $0.20 – $0.50
Printed color box: $0.50 – $1.50
Inserts, manuals, foam: $0.30 – $1.00
Retail-ready packaging: $1.50 – $4.00
Founder tip:
Ask for packaging samples before mass production. Packaging mistakes are expensive to fix later.
5. Quality Control & Inspections
Skipping inspection is one of the most expensive mistakes new founders make.
Typical costs:
Pre-production inspection: $150 – $300
During production inspection: $200 – $400
Pre-shipment inspection: $250 – $500
This is usually a flat fee, not per unit.
Founder tip:
One inspection can save you from receiving thousands of defective units.
6. Logistics & Shipping Costs
Shipping depends on volume, weight, and speed.
Common options (rough ranges):
Air freight: $6 – $12 per kg
Express courier (DHL/FedEx): $8 – $15 per kg
Sea freight (LCL): $300 – $1,000 per shipment
Sea freight (FCL container): $2,000 – $5,000+
Also consider:
Port fees
Destination handling
Customs clearance
Founder tip:
Your shipping cost per unit drops dramatically as volume increases.
7. Hidden & “Forgotten” Costs
These are the costs that catch first-time founders off guard.
Common examples:
Bank transfer fees
Currency conversion losses
Sample revisions
Storage fees at warehouse
Repacking or relabeling costs
Delays causing missed launch windows
Founder tip:
Add a 10–20% buffer to your initial manufacturing budget.
Example: Realistic First-Order Budget (Simple Product)
Let’s say you’re ordering 1,000 units of a simple consumer product.
Tooling: $1,500
Unit cost ($5 × 1,000): $5,000
Packaging upgrades: $800
Inspection: $300
Sea shipping & fees: $900
Estimated total: $8,500 – $9,000
That’s the real cost—not just the factory quote.
Final Thoughts
Manufacturing in China is not about being “cheap.”
It’s about predictability, scalability, and total cost efficiency.
Founders who succeed:
Budget realistically
Ask detailed questions early
Plan for growth, not just the first order
If you understand the full cost structure, China remains one of the smartest places to manufacture your first product..