Manufacturing in China isn't one price — it's a stack of tooling, unit cost, QC, freight and duty. Here's the full 2026 landed-cost breakdown in AUD, with a worked Melbourne example.
Last updated: 17 June 2026
In short: Manufacturing a product in China typically costs Australian businesses between AUD $2 and $15 per unit for the goods themselves, plus one-off tooling of roughly AUD $500–$8,000, plus quality control, freight and import duty on top. For a first production run of 1,000 units, most SMEs land somewhere between AUD $8,000 and $30,000 all-in. Your real number depends on the product's complexity, materials, order quantity and how tightly you negotiate. Below is a full landed-cost breakdown so you can budget properly before you commit a cent.
There's no single sticker price — manufacturing cost is a stack of separate line items, not one number. The mistake we see most often from Melbourne founders is quoting themselves the factory's per-unit price and forgetting the other 40% that turns that figure into a product sitting in an Aussie warehouse.
Here's the honest version: the unit price a Chinese factory quotes you is usually only 55–70% of your true landed cost. The rest hides in tooling, samples, quality control, freight, insurance and the duty and GST collected at the border. Plan for the whole stack and you won't get a nasty surprise.
Every product is different, but the cost categories are always the same. Here's what each one covers and a realistic range for a typical consumer product made by an Australian SME.
This is the per-piece "FOB" price the factory quotes — the cost of making one unit, ready at the Chinese port. It's driven by materials, labour, finish and complexity. A simple silicone or plastic item might be AUD $1–$3; a small electronic device $8–$30; a piece of apparel $4–$12.
If your product needs a custom mould (injection-moulded plastic, die-cast metal) you pay for tooling once, upfront. Simple moulds start around AUD $500–$2,000; complex multi-cavity moulds run AUD $5,000–$8,000+. Off-the-shelf or white-label products skip this entirely.
Expect to pay AUD $50–$500 per sample round, often refundable against your first order. Budget for two to four rounds before a product is right — here's exactly how to get product samples from Chinese suppliers.
MOQ isn't a cost, but it sets your cash outlay. Most Chinese factories want 500–1,000 units minimum; some custom items demand more. A higher MOQ lowers your per-unit price but raises your total spend and inventory risk.
A third-party pre-shipment inspection costs roughly AUD $300–$450 per man-day. Skipping it to save a few hundred dollars is the most expensive saving in importing — see how quality control and inspection works when importing from China.
Sea freight is cheapest per kilo but slow (4–6 weeks to Melbourne or Sydney). A shared (LCL) container might cost AUD $400–$1,200 for a pallet or two; a full 20ft container, AUD $2,500–$5,000+ depending on the season. Air freight is 5–8x the price but lands in days. For a full breakdown see our guide to shipping from China to Australia.
Most goods entering Australia attract 5% import duty (many categories are free under ChAFTA — the China–Australia Free Trade Agreement — if you have the right Certificate of Origin), plus 10% GST on the landed value, plus customs brokerage of AUD $80–$200. Always check the current tariff classification for your product — our Australian import duty guide walks through the rates and exemptions.
Here's how the stack adds up for a realistic first run — a custom moulded kitchen gadget, 1,000 units, shipped by sea to Melbourne.
| Cost item | Estimate (AUD) |
|---|---|
| Unit cost (1,000 × $3.50) | $3,500 |
| Tooling / mould (one-off) | $2,500 |
| Samples (3 rounds) | $450 |
| Pre-shipment inspection (1 day) | $400 |
| Sea freight (LCL, China–Melbourne) | $1,100 |
| Import duty (free under ChAFTA with Cert. of Origin) | $0 |
| GST (10% of landed value) | ~$800 |
| Customs brokerage | $150 |
| Total landed cost | ~$8,900 |
| Effective cost per unit | ~$8.90 |
Notice the unit price was $3.50, but the true landed cost per unit was $8.90 — more than double. That's the number you build your retail margin on, not the factory quote.
The biggest savings come before production starts, not during it. Negotiate MOQ and unit price together, not separately. Consolidate freight. Claim your ChAFTA duty exemption. And design for manufacturing early so you're not paying for tooling changes later.
On average, businesses that source through Epic Sourcing save around 77% versus buying through local importers or wholesalers — because we buy at the factory price, verify the supplier, and manage the freight and QC as one job through our importing from China service. The savings sit in the parts of the stack most first-timers never see.
For most categories China is still cheaper per unit thanks to mature supply chains and component availability, but Vietnam is now competitive for apparel, furniture and footwear, and helps spread risk under a China-Plus-One strategy. The right answer depends on your product.
For a typical 1,000-unit run of a simple-to-moderate product, most Australian SMEs should budget AUD $8,000–$30,000 all-in, including tooling, QC and freight. Build a full landed-cost spreadsheet before you commit.
Many products qualify for 0% duty under ChAFTA if you hold a valid Certificate of Origin; otherwise the standard rate is usually 5%. You'll also pay 10% GST on the landed value regardless. Check your product's tariff code with a customs broker.
Unit cost is just the factory price per piece. Landed cost adds tooling, samples, QC, freight, insurance, duty and GST — the true cost of getting one unit into your Australian warehouse. Always price off landed cost.
Yes. Choosing white-label or off-the-shelf products avoids tooling costs, and negotiating a lower MOQ reduces your cash outlay. A good sourcing agent can also help you find factories willing to start small.
We've sourced over 20,000 products for 300+ happy clients, with bilingual teams on the ground in China and Vietnam and offices across five countries. We get you the real factory price, manage tooling, samples, QC and freight, and hand you a transparent landed-cost breakdown before you spend a dollar. Book a discovery call and we'll cost your product properly.
