Air Compressor Payment Terms and Trade Finance Guide

Payment terms affect cash flow and risk when importing air compressors. Understanding the common options helps you negotiate a safer deal.

Common Payment Terms

  • 30% deposit with 70% before shipment.
  • Letter of credit (L/C) for larger orders.
  • Open account for established relationships.

Reducing Risk

  • Use a letter of credit for first orders.
  • Arrange pre-shipment inspection.
  • Verify the supplier before sending a deposit.

Negotiation Tips

  • Link final payment to inspection and documents.
  • Clarify who bears shipping and insurance.
  • Keep written records of all terms.

Is a 30% deposit normal?

Yes, a 30% deposit with the balance before shipment is common in the industry for standard orders.

Talk to an Engineer

Contact Panrui with your flow, pressure and air quality requirements to get a recommendation and factory quote for your project.