What Is the MOQ? How Is the Unit Price Calculated?

Essential FAQs on MOQ and pricing to help buyers understand costs, order requirements, and make smarter purchasing decisions.

What Is the MOQ? How Is the Unit Price Calculated?

Your Most Frequently Asked Questions—All Answered Here

In international trade, wholesale purchasing, and custom manufacturing, customers often encounter certain technical terms and process-related questions. Among them, “MOQ” and “unit price” are the two most frequently asked topics.

To make communication clearer and more efficient, we’ve compiled the questions clients ask most often—and provided straightforward answers to help you quickly understand the key points of the purchasing process.

1. What Is the MOQ?

Q: What does MOQ mean?

A: MOQ stands for Minimum Order Quantity, which refers to the smallest number of units a supplier is able to produce or sell.
For example, if a product’s MOQ is 500 pcs, it means the minimum order must be 500 pcs or more.

Q: Why do suppliers set an MOQ?

MOQ is determined based on several practical factors:

  • Production cost control: Starting a production line, adjusting machinery, and purchasing raw materials all involve fixed costs. Producing too few units makes the unit cost too high.

  • Operational efficiency: Larger production batches improve machine utilization and labor efficiency, lowering overall cost.

  • Logistics and management costs: Order handling, packaging, and shipping also require time and labor. MOQ helps balance cost with service quality.

Q: Can your MOQ be adjusted?

Generally, MOQ depends on the product’s complexity, production schedule, and cost structure.
However, for long-term partners, sample orders, or special promotions, we may offer flexibility.
Feel free to discuss with us—we’ll do our best to provide a workable solution.

2. How Is the Unit Price Calculated?

Q: What determines the unit price of a product?

Unit prices typically include:

  1. Raw material cost: The price of the materials used.

  2. Manufacturing cost: Labor, equipment depreciation, electricity, and other production-related expenses.

  3. Mold/development fees: For custom designs, the first-order tooling or development cost may be distributed across the initial batch.

  4. Packaging & logistics: Inner packaging, cartons, and shipping methods all affect the final price.

  5. Profit & taxes: Reasonable margins and applicable taxes such as VAT or customs duties.

Q: Is the unit price lower with a larger order quantity?

Yes. The larger the quantity, the lower the cost per piece. We offer tiered pricing, for example:

  • 500–999 pcs: ¥32/pc

  • 1000–2999 pcs: ¥29/pc

  • 3000 pcs and above: ¥26/pc

For an accurate quote, please share your detailed requirements with us.

Q: Is the sample price the same as the bulk production price?

No.
Samples are typically made in small quantities with additional manual work and extra adjustment costs, so the price is higher.
However, part or all of the sample fee may be refunded after the bulk order is placed.

3. Additional Frequently Asked Questions

Q: Can I mix different styles within one order? Will this affect the MOQ?

Yes, mixing styles is allowed as long as the total quantity meets the MOQ.
For example:
If the MOQ is 1000 pcs, you may order 600 pcs of Style A + 400 pcs of Style B.
Rules may vary by product type—please confirm with your sales representative.

Q: Does the MOQ apply to color or size variations?

Often, the MOQ applies to each style/color/size combination.
If you need multiple colors/sizes, please provide your breakdown—we will help you optimize the order structure.

Q: How can I reduce purchasing costs?

Here are some suggestions:

  • Increase order volume to enjoy lower tier pricing.

  • Choose standard styles or existing molds to avoid development fees.

  • Establish long-term cooperation to access customer-tier pricing or annual agreement pricing.

Conclusion

Understanding MOQ and the structure of unit pricing not only helps you plan purchases more efficiently but also leads to smoother and more transparent communication with your supplier.

At Dongguan Chuangdian Garment Co., Ltd., we uphold the principles of customer-first and integrity-based cooperation. We are committed to offering you professional, flexible, and cost-effective solutions.

If you have any additional questions, our sales team is always here to assist you!

— Chuangdian Garment Co., Ltd. Sales Team