Quality Control Hub · Guide 08 of 20

How to Handle a Failed Pre-Shipment Inspection

Updated June 2026 · Plutonia Global Sourcing & Logistics

Quick Answer

When goods fail inspection you have four main options: have the factory rework and re-inspect, require 100% sorting to remove defects, accept with a negotiated concession (price reduction), or reject and demand replacement. Your leverage comes from holding the balance payment and from a purchase order that specifies quality requirements.

Your Four Options

  1. Rework & re-inspect — the factory corrects the defects; a second inspection confirms.
  2. 100% sorting — defective units are removed and the rest re-inspected.
  3. Accept with concession — for minor issues, agree a price reduction in writing.
  4. Reject & replace — for serious failures, reject and require replacement.

Whichever you choose, document it in writing. Rework and sorting costs are typically charged to the factory when defects were its fault. Keeping the balance payment is what makes these options enforceable.

Key Takeaways

  • Options: rework, sort, concession, or reject.
  • Hold the balance payment for leverage.
  • Charge rework/sorting to the factory when at fault.
  • Document the agreed outcome in writing.

Frequently Asked Questions

What happens if goods fail a pre-shipment inspection?
You can require rework and re-inspection, 100% sorting, acceptance with a negotiated concession for minor issues, or rejection and replacement for serious failures. The right option depends on defect severity.
Who pays for rework after a failed inspection?
Rework and sorting costs are typically charged to the factory when the defects were caused by production failures, provided the purchase order specifies quality requirements.
Can I get my deposit back if goods fail badly?
It depends on your contract and the situation, but holding the unpaid balance is your main leverage. A clear purchase order specifying quality and inspection makes rejection and remedies enforceable.
Should I accept goods with a concession?
Only for minor, acceptable defects, and always document the price reduction or credit in writing. For defects affecting function or safety, require rework or rejection instead.
Can Plutonia manage a failed inspection?
Yes. Plutonia manages the response — rework, sorting, concession, or rejection — re-inspects, and negotiates with the factory on your behalf. Submit your order details to start.

Inspect Before You Ship

Plutonia runs pre-production, inline, and pre-shipment inspection — so defects are caught before goods leave the factory.

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