Tooling and Mould Costs in China: What You Pay For, and How to Make Sure You Own It
Short answer
Tooling is the custom equipment, such as injection moulds, dies or cutting tools, needed to make your specific product. Costs range from a few hundred US dollars for simple tools to many thousands for complex multi-cavity steel moulds, depending on size, material, complexity and expected production volume. If you pay for tooling, your contract should state that you own it and can move it to another factory.
Key takeaways
- ✓Tooling is a one-off cost, separate from the unit price.
- ✓Steel moulds cost more but last longer than aluminium ones.
- ✓Ownership must be written into your contract.
- ✓Ask for photos and markings of your tooling, and a release clause.
What drives tooling cost?
| Factor | Effect on cost |
|---|---|
| Product size | Bigger parts need bigger, costlier moulds |
| Complexity | Undercuts, threads and fine details add cost |
| Mould material | Steel lasts longer and costs more than aluminium |
| Number of cavities | More cavities make more parts per cycle but cost more upfront |
| Surface finish | High-gloss or textured finishes add work |
| Expected volume | High volumes justify more durable tooling |
How is tooling usually paid?
Factories often ask for tooling to be paid upfront or split between a deposit and approval of the first samples. Some amortise it into the unit price over a set number of units. Whichever you choose, get the cost, the ownership and the expected mould life in writing.
Want your product made, inspected and delivered without the risk?
Husbar China Line verifies factories, negotiates for you, arranges on-site inspection before you pay the balance, and manages freight to the UAE, Saudi Arabia and Pakistan.
Request a China Line consultationHow do you protect ownership of your tooling?
- State in the contract that tooling paid for by you belongs to you.
- Mark the tooling with your company name or a reference number.
- Ask for photos of the tooling and a list of all tools made.
- Include the right to move tooling to another factory, with a reasonable release process.
- Keep drawings and design files for every tool.
With Husbar China Line, tooling costs, ownership and terms are negotiated and shared with you in writing, and your designs remain yours. Read about manufacturing contracts and NNN agreements or see China Line.
Frequently asked questions
Can I avoid tooling costs?+
Sometimes, by using a factory's existing moulds and customising colour, packaging or branding. That is common for private label products.
How long does a mould last?+
It depends on the material and product. Steel moulds can produce many more units than aluminium ones; ask the factory for the expected mould life.
Can a factory refuse to release my mould?+
It can be difficult without a clear contract. Write ownership and release terms in before paying.
Team Husbar
Husbar Editorial
Team Husbar is the strategy, psychology and research team at Husbar, a psychology-led growth agency headquartered in Dubai. Together we have worked with 100+ brands over 10+ years.
Want your product made, inspected and delivered without the risk?
Husbar China Line verifies factories, negotiates for you, arranges on-site inspection before you pay the balance, and manages freight to the UAE, Saudi Arabia and Pakistan.
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