The cost of shipping your products' Subassemblies from your Hong Kong supplier depends on the distances involved. Regarding of your factory's location the shipping distances around the world can be substantial. Make sure when making your Subassembly purchase(s) for the upcoming quarter that you have enough raw material Grades within each Group for the production run you want to schedule. If you run out of any Grade during the production quarter all factory operations cease because continuing the production with the remaining Subassemblies would change the quality level of all succeeding television sets. This is against company policy.
The accompanying table indicates the shipping rates that would be incurred by factories in the receiving countries shown.
SUBASSEMBLY SHIPPING CHARGES (In Base Period ฿)
Destination Group 1 Group 2
NAFTA 227.69 253.56
EU 405.45 460.19
APEC 206.94 213.55