Injection moulding
Handle grip, TPE overmould
A two-shot grip on a rigid substrate. A Class 103 tool against a low piece price is the worst shape on this shelf: the break quantity is four and a half times the supplier MOQ.
The quotation
Tooling class
SPI Class 103
Tooling charge
$26,000
Supplier MOQ
2,500 units
Base rate
$3.15
Tier 2 from
1,000 units
Tier 2 rate
$2.65
Tier 3 from
5,000 units
Tier 3 rate
$2.20
Freight per shipment
$1,450
Duty rate
4.5%
Scrap rate
4%
What it actually costs
Quoted at MOQ
$2.65
Landed at MOQ
$14.33
Landed against quoted
5.41x
Break quantity
11,346 units
At the supplier MOQ, tooling is still the largest thing each unit is paying for.
Material
Notes
The supplier MOQ is 2,500 and the break quantity is 11,346. Ordering the minimum means paying $14.33 a unit for a part quoted at $2.65: 5.41 times, the worst on this shelf, and the reason is a $26,000 tool against a part that costs under three dollars to make.
Even at 113,460 units, ten times the break quantity, the landed price is $2.65 against a $2.20 tier rate. A Class 103 tool is a commitment to a volume, and this part is the argument for asking whether that volume exists before the tool is cut.