Pre-Shipment Inspection (PSI)
A quality inspection conducted when production is 80-100% complete, using AQL sampling to determine whether the batch meets quality standards before it ships. The last line of defense before goods leave the factory.
Pre-Shipment Inspection (PSI) is the most common type of quality inspection in international trade. It is conducted at the factory when at least 80% of the order is finished and export-packed. A trained inspector randomly samples products from the completed batch according to AQL standards, systematically checks them against your specifications and quality checklist, and issues a pass, fail, or conditional pass report.
A standard PSI covers: quantity verification (are all ordered units produced?), workmanship check (visual inspection for defects), dimensional check (measurements against specs), functionality testing (does the product work as intended?), labeling and packaging verification (correct labels, barcodes, carton markings), barcode scanning (ensuring barcodes are readable), drop test (carton dropped from specified height to check protective packaging), and product-specific tests (water resistance, weight, color matching, etc.).
The PSI report typically includes a clear pass/fail/pending recommendation, defect photos with descriptions, a summary of quantities checked and defects found by category (critical, major, minor), and overall batch disposition. If the batch fails, you have several options: request the factory to sort and rework defective units and re-inspect, negotiate a price discount to accept the batch with known defects, or reject the batch entirely. Having a PSI report gives you documented leverage for these negotiations.
Why it matters
Book your PSI when the factory reports 80% production completion. Create a detailed inspection checklist with photos of acceptable vs. unacceptable quality. Share this with both the factory and the inspection company.
Practical Tip
Book your PSI when the factory reports 80% production completion. Create a detailed inspection checklist with photos of acceptable vs. unacceptable quality. Share this with both the factory and the inspection company.
You'll hear this when…
When setting requirements
“"Our spec sheet references the Pre-Shipment Inspection (PSI) threshold — all units must meet or exceed this before shipment."”
When reviewing an inspection report
“"The third-party inspector flagged two units that failed the Pre-Shipment Inspection (PSI) check."”
When negotiating with a supplier
“"What is your factory's standard Pre-Shipment Inspection (PSI) rejection rate, and how do you handle non-conforming units?"”
Related Terms
Quality Control
QCThe process of inspecting products during and after manufacturing to ensure they meet specifications. QC includes incoming material inspection, in-process checks, and final random sampling before shipment.
Acceptable Quality Level
AQLA statistical sampling system that defines the maximum acceptable defect rate in a production batch. AQL tables specify how many units to inspect and how many defects are allowed based on batch size.
First Article Inspection
FAIA thorough inspection of the very first production units off the line before mass production begins. FAI verifies that the factory can produce your product correctly and catches problems before they multiply across thousands of units.
ISO 9001
The international standard for Quality Management Systems (QMS). An ISO 9001 certified factory has documented processes for consistent quality, but certification alone does not guarantee product quality.
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